Quick comprehension of
"the Natural Economic Order"

Part 1:Distribution
1-11:Legislative interference
with Rent and Wages

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Both the original version(in German) and its English translation of this part are available on the web as well.

After telling that legislative system is very intentionally made, Gesell shows us a case of a tabaco-importer who needs to pay $100 per ton.

Detail 

$

100 Tons Java tobacco

50,000

Freight and import-duty

10,000

tabaco & customs

60,000

10% expected profit

6,000

total capital

66,000

Landowners argue that the State should tax people not in the form of land-tax but of poll-tax or income-tax, as the same principle for this tobacco is applied for the land-tax as well just to reduce workers' proceeds.

Gesell quotes Ernst Frankfurth's "What becomes of the proceeds of the land-tax?" who said nobody can never know who is the contributor without knowing whom the tax is used for. There'll be no difference between landowners who build a road across their land and the State which builds a road across landowners' territories by using the very land-tax, both of which can be considered as "capital investment." Education, on the other hand, can't be seized from this viewpoint, and workers can choose between the following two options: to remain the mother country with a good arranged social capital(like roads, education and irrigation) paying the rent or to emigrate to be a freeland owner without such social capital, letting us recognize how big the State's role on the redistribution is.

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(mig@lime.plala.or.jp)