Churchill

They've been talking about poverty in Glasgow for a long time. They've been into land reform as well. Not just the work of Mary Barbour and the Glasgow Women's Housing Association and rent strikes during the first war, but at the turn of the twentieth century Glasgow was also the de facto HQ in Britain of the Single Tax movement, those followers of Henry George's idea of taxing land values. The poverty in the city was legendary, and it was it seems often used as an example by either side in the land tax debates almost exactly a century ago.

Here's a response from Winston Churchill in the House of Commons to the leader of the opposition, Arthur Balfour's attempts to rubbish the idea:

One hundred years ago, the Liberal Party could have begun to eradicate Glasgow's poverty once and for all. How sad that a hundred years later Glasgow East continues to shine mostly as an example of those same problems we could have solved all those years ago. What benefit has the political game been to them in all those years? What good the franchise? What good socialism? Or the vested interests of the Tories' friends? BBC News tonight suggested that this might be the most important by-election in thirty years. Maybe for the first time in a century someone could once again explain how they are going to make life really better for the constituency's long suffering inhabitants. And then make it happen.

There's this extraordinary debate going on (well actually the comments are closed) on ConservativeHome about a piece by a chappie called Tony Makara who is advocating a protectionist trade policy the likes of which has not been seen in the UK for a generation:

Anthony Makara: Britain imports too much

Over the last weeks I've read much about the subject of welfare reform. The arguments about incapacity benefit and workfare. However all these strategies for welfare reform fail to answer one fundamental question. How are we going to get people into work? I believe all the proposed plans for welfare reform will fail because they do not tell us how we are to create the one million plus jobs needed to end welfare dependency. This is because the British economy no longer produces the jobs that the unemployed need. Lets face it, a person is either in work or they are on benefit, it really is that simple, the answer to unemployment is to create jobs. [From ConservativeHome's Platform: Anthony Makara: Britain imports too much]

The outrage in the comments is interesting. We all know the Tories made a seismic shift in the mid-late seventies in embracing what they liked to call "free trade". Of course, without radical tariff eradication and resolute policing of monopoly and cartel, there is no truly free trade. But what is interesting is that this was the debate over which Winston Churchill first left the Tories at the turn of the twentieth century and joined the free trade Liberals.

You see, for forty years, free trade was a policy of the "left" (indeed much longer if we go back to the Radicals and the Corn Laws debates), a key plank of trying to increase the returns to labour and in reducing the cost of necessities to make the average working person better off, either through higher wages or through lower prices (they have the same effects). It was Philip Snowden, the Labour chancellor of the exchequer, who wrote in a foreword to a new edition of Henry George's book of the same name "Protection or Free Trade" that...

"Each new generation has in a large measure to re-learn the truths which its ancestors established by discussion and practical experience. Free Traders have been so confident in the fundamental soundness of their faith and in the security of the system, that they have neglected to keep the rising generation well grounded in the principles of the faith."

He was writing in response to the Tories' re-adoption of a protectionist stance in the face of the beginnings of the Great Depression.

I have no doubt that most Tories today believe in something called "free trade". I don't believe that most of them actually realise how far away we are from it and what steps will be necessary to get there. But I am sure myself that if we get there, we will all benefit. As Snowden also wrote, "Protection is the foster-mother of monopoly, and monopoly in all its forms...is the robbery of the community for the benefit of private interests" (you can see why Tories would like the idea!).

It is worth mentioning that the Lib Dems have a consultation paper out on the UK Response to Globalization. Go respond - we must resist any attempts at introducing protectionist policies.

Hat tip to US Georgist tax researcher "Taxpayer" who highlights that Fred Harrison has made a seven or so minute introduction/video advert for his book "Ricardo's Law: House Prices and the Great Tax Clawback Scam"

If you want to understand a bit about just how unfair a tax system based on incomes is, have a watch, and hopefully buy the book - it goes into a lot more detail and will leave you I am sure convinced of the place of LVT.

New at 1909, how the People's Budget was intended to change the whole ethos of tax, asking not merely "how much have you got?" but also "how did you get it?" and giving us ideas just as pertinent today for differentiating between people's justified wealth and wealth gained by exploiting the common wealth and the needs of others.