Landlord

Frederick Verinder: My Neighbor's Landmark: Short Studies in Bible Land Laws (1911) — Chapter 2: First Principles: "The Earth is The Lord's"

For, while the class which the late Lord Salisbury so worthily represented seems to say, "The earth is the (land)lord's, and land doth he 'furnish' to the farmer," the Biblical reading is quite otherwise. "In the beginning God created the heaven and the earth." Therefore "unto the Lord thy God belongeth the heaven, and the heaven of heavens, the earth, with all that therein is." "The heaven, even the heavens, are the Lord's; but the earth hath He given to the children of men."

No phrase could possibly be wider in its application, or more completely destructive of the claims of a landlord class to the monopoly of God's earth, than the simple words "children of men." Is there any man, woman or child who lives now, or who ever has lived, or who ever will live, who is not included among "the children of men?" No: Jew or Greek, native or foreigner, black or white, lord or peasant, rich or poor37 — all find, in this sweeping generalisation, the charter of their birthright in the soil. The simple and unlettered field-worker, who never heard of Herbert Spencer, may yet deduce from his Bible as good an argument for the "equal right to the use of the earth" as is to be found in Social Statics; and he will probably hold to it more tenaciously than the "Perplexed Philosopher" did. ... Read the whole chapter, including footnotes

9. Claiming the Promised Land: A New Jubilee for a New World

In the book of Joshua, we find that although the Promised Land is a gift from God, it is a gift that has to be claimed. Even before the actual conquest of the Promised Land, the Mosaic Law prescribed a method whereby possession of land was to be rendered pleasing in God's sight. The Canaanites' claim was forfeited by their idolatry, with human sacrifice and temple prostitution, and by their exploitive, monopolistic social order. By contrast, Israel, to make good its claim, had to institute a social order that would guard against the desecration, pollution, and injustices of which its predecessors were guilty, and would secure to each family and to every generation within the Hebrew commonwealth the equal right to the use of the land, of which the Lord was recognized as the sole absolute owner.

They began with a census of the tribes and families before the conquest (Num. 26:1-51). Every tribe, excepting Levi, and within each tribe every family, was to receive its proportionate share, according to size (Num. 26:55-56), and ultimately, to ensure fairness, by lot (Num. 34:16-29). The actual distribution, according to these provisions, was concluded at Shiloh (Josh. 19:51). According to ancient historian Josephus, the territory was not divided into shares of equal size but of equal agricultural value. The landmarks that protected these allotments were protected by the public and solemn denunciation of a curse against anyone who should dishonestly tamper with them (Deut. 27:11-16; 19:14).

As discovered again in our own century, it is easier to devise a one-time fair apportionment of land that it is to keep the system from falling apart. This is why the ancient law established the Jubilee year. At the end of every fifty years, any alienated lands — given away, sold, or lost from unpaid debts — would be restored to the original families. Temporary possessors were to be compensated for any unexhausted improvements they may have made on the land. Concentrated landownership, and the division of society into landed and landless classes, was thereby prevented from creeping into the system. The Jubilee effectively took the profit out of landholding as such, leaving no incentive for speculation. When it was observed — and historical records indicate that it was observed for long periods — the Jubilee system successfully removed the root cause of poverty from the Jewish society.

The influence of the Jubilee idea upon early Pennsylvania colonists is evidenced by the inscription on the Liberty Bell of the biblical words enjoining the Jubilee year: "Proclaim Liberty throughout all the land unto all the inhabitants thereof." (Lev. 25:10) The founder of Pennsylvania, William Penn, advocated that all men be "tenants to the public", and to defray public expenses instituted a tax on land.

Environmental concern also goes back to biblical land laws. To prevent the exhaustion of the soil, a periodic fallow was ordered. "During one year in every seven, the soil, left to the influences of sun and frost, wind and rain, was to be allowed to 're-create' itself after six years' cropping, exactly as the tiller of the soil renewed his strength, after six days' work, by his Sabbath day's rest."

As noted, the tribe of Levi did not share in the equal division of the land, since it was charged with carrying out religious and public duties. Its members were entitled to an indemnity from the eleven tribes who received the land that otherwise would have gone to them. This indemnity was the tithe — one-tenth of the product from the land occupied by the eleven other tribes.

Here, in principle, is the formula for a just land system in almost any time or place. The compensation to the Levites maintained the substance of equal rights to land, alongside of and compatible with unequal physical division of the land itself. As Frederick Verinder pointed out in his book My Neighbour's Landmark, joint heirs of a house may share it equally by occupying it equally or unequally but "paying the rental into a common fund, from which each draws an equal share; or they may let the whole house to someone else and divide the rent equally." So it is with land. Sharing equally in the economic rent or value of land through the application of that value to common uses from which all benefit, renders private ownership and unequal partition of land morally and pragmatically benign.

The modern equivalent of removing one's neighbor's landmark is thus not the private ownership of land per se, but rather the private appropriation of land value. "The profit of the earth is for all" (Eccles. 5:9). The Old Testament ethic, to assure everyone the same natural opportunity, asserts that all people have an equal right to economic rent, and the Levite tithe demonstrates that the socialization of rent offsets the ethical and practical harm resulting from private land ownership. But there is another basis for its advocacy: Rent should be taken by society because it is a social product. Rent arises in large measure from two societal phenomena: the mere presence of population, and community activity in a particular area. More people means more demand for space on which to live and work. Community activities such as roads, schools, protection, parks, sewage, utilities and other public services, as well as the totality of private commercial and cultural operations, all make land more productive or desirable. It follows that a community which funds such improvements out of its rent fund will be provided with a stable and growing fund with which to maintain and improve them. And unlike conventional taxes, the collection of this fund will enhance, not penalize, the production of wealth.

Individuals, in their bare capacity as landowners, do nothing to produce land value. By withholding sites from use, whether for speculation or for other reasons, they may generate scarcity, artificially inflating rent, but this does not reflect any positive contribution to production on the part of landowners.

While land value is not the only type of unearned increment, unearned income resulting from such advantages as talent, genes or luck is not at the expense of others. Even Karl Marx admitted: "The monopoly of property in land is even the basis of the monopoly of capital." Marx could have — but did not — champion the abolition of land monopoly; instead he advocated its transfer from private into state hands. It was left to Henry George to expound how the universal principles of justice found in the Mosaic model could be applied to the modern age in all its economic aspects — rural and urban, agricultural and industrial, technologically undeveloped or advanced.

What George advocated was to leave land titles in private hands but to appropriate land rent via the existing machinery of property taxation. "I do not propose either to purchase or to confiscate private property in land. The first would be unjust; the second, needless....It is not necessary to confiscate land; it is only necessary to confiscate rent." No owner or tenant would be expropriated or evicted. No limit would be placed on the quantity of land one could hold, as long as the annual rent were paid.

Coordinately with the capture of rent as public revenue, taxes on products of human labor — improvements, personal property, services, commodities, wages, etc. — would be reduced and ultimately eliminated.

George considered his remedy no mere human contrivance. He saw the growth of land value and the easy means of equitably distributing it as an expression of benevolent supernatural design: "As civilization goes on... so do the common wants increase and so does the necessity for public revenue arise. And so in that value which attaches to land, not by reason of anything the individual does, but by reason of the growth of the community, is a provision intended — we may safely say intended — to meet that social want."

George's remedy goes a long way to stop current inequity and prevent future inequity. While past inequity, in the form of accumulations of capital based on previous land speculation and monopoly cannot be accurately redressed, these fortunes can be impelled to serve the needs of the public via investment in production, not by further investment in land speculation and monopoly.

Dependency theory, to the degree that it hits upon one of the causes of Third World poverty in exploitation by foreign investors, can find in George's land value tax the constructive practical approach it lacks. Neither erection of trade barriers nor legal restriction of foreign ownership is called for. As one Australian writer puts it:

(W)hen investors from one country buy property in other countries they are seeking site rent, which they hope to obtain directly from tenants, or indirectly by selling land in the future when the price or capital value has increased.... The site rent that is so attractive to overseas investors can be kept in the country quite easily — by shifting taxation from labor onto land."

Because George asserted, "We must make land common property," he is sometimes erroneously regarded as an advocate of land nationalization. But, as we have seen, he was nothing of the sort. The expropriation of land makes it practically impossible to fairly compensate people for the improvements to land, which are their legitimate property. George's system renders to the community what is due to the community, without doing any violence to the wealth that has been fairly earned by productive workers.

Common property in land is sometimes discredited by equation with what Garrett Hardin calls "The Tragedy of the Commons." Referring to the common lands that were a major English institution until the mid-nineteenth century, Hardin describes the tendency of individuals, each rationally pursuing self-interest, to overgraze, denude, and use the commons as a cesspool. That which belongs to everybody in this sense is, indeed, in danger of being valued and maintained by nobody.

The enclosure movement ultimately brought an end to this ecologically destructive process, but not without literally pushing people off the land, exacting a baneful price in human misery that might well be termed "The Tragedy of the Enclosures." George hit upon a way of securing the benefits of both commons and enclosures, while at the same time avoiding their evils. Land value taxation rectifies distribution so that all receive wealth in proportion to their contribution to its production. This liberates the economic system from exploiters who contribute little or nothing. Apportioning the wealth pie fairly increases the incentive to increase the size of the pie. The market becomes in practice what capitalist theory alleges it to be — a profoundly cooperative process of voluntary exchange of goods and services. Paradoxical though it may seem, the only way the individual may be assured what properly belongs to him or her is for society to take what properly belongs to it: The ideal of Jeffersonian individualism requires for its actualization the socialization of rent.

Just as Marxists err in insisting that everything be socialized, extreme capitalists err in insisting that everything (even public parks and forests!) be privatized. The middle way is to recognize society's claim to what nature and society create — the value of land and its rent — so that working people, including entrepreneurs, may claim their full share of what they create. In this balanced approach can be found the authentic verities respectively inherent in socialism and individualism. ... Read the whole synopsis

 

Henry George: Moses — Apostle of Freedom (1878 speech, San Francisco)

It was not an empire such as had reached full development in Egypt, or existed in rudimentary patriarchal form in the tribes around, that Moses aimed to found. Nor was it a republic where the freedom of the citizen rested on the servitude of the helot, and the individual was sacrificed to the state.

It was a commonwealth based upon the individual – a commonwealth whose ideal it was that every man should sit under his own vine and fig tree, with none to vex him or make him afraid. It was a commonwealth: in which none should be condemned to ceaseless toil; in which, for even the bond slave, there should be hope; and in which, for even the beast of burden, there should be rest. A commonwealth in which, in the absence of deep poverty, the many virtues that spring from personal independence should harden into a national character – a commonwealth in which the family affections might knit their tendrils around each member, binding with links stronger than steel the various parts into the living whole.

It is not the protection of property, but the protection of humanity, that is the aim of the Mosaic code. Its sanctions are not directed to securing the strong in heaping up wealth as much as to preventing the weak from being crowded to the wall. At every point it interposes its barriers to the selfish greed that, if left unchecked, will surely differentiate men into landlord and serf, capitalist and working person, millionaire and tramp, ruler and ruled. Its Sabbath day and Sabbath year secure, even to the lowliest, rest and leisure. With the blast of the Jubilee trumpets the slave goes free, the debt that cannot be paid is cancelled, and a re-division of the land secures again to the poorest their fair share in the bounty of the common Creator. The reaper must leave something for the gleaner; even the ox cannot be muzzled as he treadeth out the corn. Everywhere, in everything, the dominant idea is that of our homely phrase: "Live and let live!"

...

Yet the great concern of Moses was with the duty that lay plainly before him; the effort to lay the foundations of a social state in which deep poverty and degrading want should be unknown – where people released from the meaner struggles that waste human energy should have opportunity for intellectual and moral development.

Here stands out the greatness of the man. What was the wisdom and stretch of the forethought that in the desert sought to guard in advance against the dangers of a settled state, let the present speak!

In the full blaze of the nineteenth century, when every child in our schools may know as common truths things of which the Egyptian sages never dreamed; when the earth has been mapped and the stars have been weighed; when steam and electricity have been pressed into our service, and science is wresting from nature secret after secret – it is but natural to look back upon the wisdom of three thousand years ago as an adult looks back upon the learning of a child.

And yet, for all this wonderful increase of knowledge, for all this enormous gain of productive power, where is the country in the civilised world in which today there is not want and suffering – where the masses are not condemned to toil that gives no leisure, and all classes are not pursued by a greed of gain that makes life an ignoble struggle to get and to keep? Three thousands years of advances, and still the moan goes up: "They have made our lives bitter with hard bondage, in mortar and in brick, and in all manner of service!" Three thousand years of advances! and the piteous voices of little children are in the moan.

Standing as I stand, where modern ideas have had fullest, freest development; in the newest great city of the newest great nation; by the side of that ultimate sea, where ends the westward march of the race that has circled the globe, and farthest west meets east, the cool shades and sweet waters whose promise has so long lured us on seem dissolving into mocking mirage.

Over ocean wastes far wider than the Syrian desert we have sought our promised land – no narrow strip between the mountains and the sea, but a wide and virgin continent. Here, in greater freedom, with vaster knowledge and fuller experience, we are building up a nation that leads the van of modern progress. And yet while we prate of the rights of humanity there are already many among us thousands who find it difficult to assert the first of natural rights – the right to earn an honest living; thousands who from time to time must accept of degrading charity or starve.

We boast of equality before the law; yet notoriously justice is deaf to the call of those who have no gold and blind to the sin of those who have.

We pride ourselves upon our common schools; yet after our boys and girls are educated we vainly ask: "What shall we do with them?" And about our colleges children are growing up in vice and crime, because from their homes poverty has driven all refining influences. We pin our faith to universal suffrage; yet with all power in the hands of the people, the control of public affairs is passing into the hands of a class of professional politicians, and our governments are, in many cases, becoming but a means for robbery of the people.

We have prohibited hereditary distinctions, we have forbidden titles of nobility; yet there is growing up an aristocracy of wealth as powerful and merciless as any that ever held sway.

We progress and we progress; we girdle continents with iron roads and knit cities together with the mesh of telegraph wires; each day brings some new invention, each year marks a fresh advance – the power of production increased, and the avenues of exchange cleared and broadened. Yet the complaint of "hard times" is louder and louder; everywhere are people harassed by care, and haunted by the fear of want. With swift, steady strides and prodigious leaps, the power of human hands to satisfy human wants advances and advances, is multiplied and multiplied. Yet the struggle for mere existence is more and more intense, and human labour is becoming the cheapest of commodities. Beside glutted warehouses human beings grow faint with hunger and shiver with cold; under the shadow of churches festers the vice that is born of want.

Trace to its roots the cause that is producing want in the midst of plenty, ignorance in the midst of intelligence, aristocracy in democracy, weakness in strength – that is giving to our civilisation a one-sided and unstable development – and you will find it something which this Hebrew statesman three thousand years ago perceived and guarded against.

Moses saw that the real cause of the enslavement of the masses of Egypt was – what has everywhere produced enslavement – the possession by a class of land upon which and from which the whole people must live. He saw that to permit in land the same unqualified private ownership that by natural right attaches to the things produced by labour, would be inevitably to separate the people into the very rich and the very poor, inevitably to enslave labour – to make the few the masters of the many, no matter what the political forms, to bring vice and degradation no matter what the religion.

And with the foresight of the philosophic statesman who legislates not for the need of a day, but for all the future, he sought, in ways suited to his times and conditions, to guard against this error.

Everywhere in the Mosaic institutions is the land treated as the gift of the Creator to His common creatures, which no one has the right to monopolise. Everywhere it is, not your estate, or your property, not the land which you bought, or the land which you conquered, but "the land which the Lord thy God giveth thee" – "the land which the Lord lendeth thee". And by practical legislation, by regulations to which he gave the highest sanctions, he tried to guard against the wrong that converted ancient civilisations into despotisms – the wrong that in after centuries ate out the heart of Rome, that produced the imbruting serfdom of Poland and the gaunt misery of Ireland, the wrong that is today filling American cities with idle men, and our virgin states with tramps.

He not only provided for a redistribution of the land among the people, and for making it fallow and common every seventh year, but by the institution of the Jubilee he provided for a redistribution of the land every fifty years, and made monopoly impossible. ... Read the whole speech