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 The Power to Exact Wages from LaborRoyal E.S. Hayes
 [Reprinted from Land and Freedom, March-April
          1941]
 
 A friend tells me of an incident which occurred when natural gas was
          piped into his town. A widow complained to a morning newspaper that
          her landlord raised her house rent on the ground that she could pay
          more because of the saving in her fuel bill. "You did not supply
          the natural gas," she said. "What difference does that make,"
          he retorted, "it's my house."
 
 The significance of the incident is not that it was striking. It is
          that the same condition and cause, though less obvious, affects every
          person in the civilized world. Government through law ignorantly
          stifles normal competition. It gives landownership license to hold
          labor off the land for a price. This limits the use of land. It keeps
          enterprise down as well as competition. It causes high prices in
          general. It makes labor compete against itself. In other words, it
          permits the greater part of wages to disappear in the price of land.
 
 The point in theory that I would discuss is in the comment which my
          friend made on the affair. He said, "When will people wake up to
          the fact that ground rent is a social value and belongs in the social
          fund?" This provokes a few other questions which I would like to
          ask. Is all of present ground rent a social value? Is that which the
          landlord extracted from the widow a social value and does it
          rightfully belong in the social fund? (What moral right has government
          to legalize such "hyjacking?" What right to collect from the
          landlord that which he clubs from widows or others? Is it a fine thing
          for government to be a receiver of stolen goods? Is this something to
          work and pray for? If so, count me out of both.
 
 The fact is, it is not George's proposal at all. He would starve in
          the streets again before he would favor such a plan. He would say that
          which the landlord took from the widow was her wages; that no man,
          official or otherwise, has a moral right to this part of her
          subsistence. When the landlord got the extra rent from the widow it
          took the form of monopoly and speculative rent. As George said, "Over
          and above the economic rent there is the power that comes by monopoly,
          which may be called monopoly rent. The power to exact that monopoly
          rent comes from the power to keep labor off the land."
 
 It is clear then, that wages and its security to labor is a definite
          factor to reckon with in distribution. It is by all means the most
          important factor in livelihood. Let us therefore wake up thoroughly to
          the fact that as a matter of distribution, except at first to get a
          start, government is to collect the economic increment only, leaving
          the monopoly and speculative quantity in the pockets of labor as
          wages. Let us think more about wages and worry less about the "social
          fund" and "social services." Let us envision wages for
          what it is, not only a definite factor in distribution but the
          greatest and grandest economic provision of nature on earth. The
          fullness of life can come only through WAGES, gained through the
          handiwork, craftsmanship and thoughtful care of man himself, through
          his labor with hand and brain.
 
 Wages! World wide and universal! What depth of human implications
          here! What a subject for writers, thinkers, leaders everywhere! This
          wisdom of George will be listened to when men have gone through the
          lower depths of the coming decade. The world strafing which will
          result from the blind struggle to escape the consequences and to
          overcome the legal advantages which men have built up against each
          other, will give us the opportunity of the age.
 
 This light must come! But it will have to come from the original
          spiritual insight and fire which since George's time has dulled down
          to a spark. Let us fan the true spark into a great illumination! But
          we shall have the breath and power for that only by returning to the
          original purpose of George, to elevate wages through a just
          distribution of wealth.
 
 George's factual wisdom and Utopian vision must be brought to all
          sorts and orders of people, especially to those who have suffered most
          from economic injustice. Let us return to the original purpose and
          plan. Then society will put aside the universal robbery, the exactions
          of legal advantages. A flood of wages will then flow over the earth so
          that, as George said, "The industrious will be the rich people of
          the future. ...That all may have leisure, comfort and abundance, not
          merely the necessities of life, but even of that which are now
          esteemed the elegancies and luxuries of life." Let us give our
          best thought to the problem of labor and its wages. The social fund
          will then almost take care of itself.
 
 
 
 
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