SINGLE TAX.

Auckland Star, Volume XX, Issue 288, 4 December 1889, Page 2

SINGLE TAX.

(To the Editor.)

Sir,—Your correspondent "Single Tax" takes r'efugo behind a quibble when he attempts to explain away Henry George's statement that the elTect of the single tax would be the same as putting the land up to auction.

His letter bears the impress of one of the "devil's own," or, ab least* one who is in training for the honourable occupation of making " the worse appear the belter cause." Ib would be easy to quote Adam Smith in favour of protection, bub I do nob think he was infallible, and I claim the right to think for myself. I will, however, with your permission, sir, give " Single a quotation from Henry George's "Protection and Free Trade," page 119. He quotes Horace Greeley, who sayV, "I can better afford to pay 70 dollars per ton for iron made by men who can and do buy American newspaper's than take ib for 50" dollars of those who rarely see and never buy one of my products." To which Hanry George replies, "Newspapers are iiol bought with iron* nor do newspaper publishers buy iron with newspapers. Theee transactions are eflected with money, which represents no single form of wealth, but value in all forme." In a former letter tbe fear of being too prolix caused me to cut my Acamplo of the effect oi iffipsftieg goods short, by Saying the money to pay for them must withdrawn from circulation here and paid in for transmission abroad. I might havo said further, the money ie impounded, and cannot be released and put into circulation again except by some One contracting a fresh loan and agreeing to pay interest again for the sanie money which would have remained in circulation if it bad not been withdrawn to pay for foreign goods. Then there is another phase of the matter. Bank-notes do well enough here, but when our banks have a debit balance abroad, notes are valueless : they must send gold to square it. " Single Tax " ends his letter by saying, "whenever more capital is required in a country, interest rises, end the capital follows ; capital, like water, finds its oWn level;" andj ho might have added, interest Hows out. I have heard before about capital, like water, finding its own level, and our fellowcolonists at Chrietchulch and Kaiapoi kfldw a little about water finding its own level. If the banks of the Waimakariri wefe not kept up to protect those places, the inhabitants would be drowned but.-I am, etc;, Practical.