Let us begin by saying we do not advocate putting a gun
to the heads of those who are rich to take their wealth away from them. Their
children may have to stand on the same footing, or similar footings as the rest
of us, and their abilities to create dynasties may be limited, but their food,
clothing, shelter, leisure and travel should remain intact. Let us consider the
making of the wealth to begin with.
Keep economics simple. For a market to work it takes the producer-seller, the
consumer-buyer, and some common rules that can be enforced by either party for
their mutual benefits in facilitating fair exchanges. Means for exchange, cash,
and weights and measures, safety, security, are all ultimately furnished by the
state. The market cannot exist without either the producer or the consumer.
There is neither supply side nor demand side economics, but market economics
and the value of the market increases with the numbers, both in products
offered and willing customers. There should always be a strong market for basic
necessities. Therefore both production and consumption should be encouraged as
we have done over the years in our agricultural policies. Scarcity of either
supply or demand reduces the value of the total market, even if it allows a few
to increase their share of profits.
A society that encourages all to participate in having the necessities
encourages the growth of those markets and their value. Those markets include
food, shelter, clothing, necessary travel, health care, education and
entertainment. Societies will benefit that encourage such markets, where
necessary assistance is provided its members or their care givers, to
participate as consumers in such markets and provides the income for the
producers necessary to cover their trouble, labor and costs to encourage them
to participate. The excess received in the market over costs of production,
planning, labor, material and travel, etc., is considered profit. Profit is
what the modern market demands of participation for its success.
Profit is a universal market tax applied in and by all commercial systems
around the world. It is the tax currently only on the consumer for using the
market. It is the most ingenious and successful tax devised by humans. All are
subject to it and pay it and the complaints are few. It is only regressive if
people are excluded from market necessities. Profit is taken from our second
system of government, commerce, upon which all theories of property, ownership
and use are developed or currently dependent. It matters not whether you use
the words Capitalism, Socialism, Theocracy, Communism, mixed Democracy or
follow one of those paths in your local government. All are subject to profit,
which is the tax all consumers now pay for participating in the commercial
world. The profiteers of the world are
the tax collectors for all of our use in the world of commerce.
But the world of commerce is not their private domain. Their rights of use, and
to some extent those of the consumer, are well protected in laws and customs
from weights and measures to acceptable coins and credit cards. How much they
may retain of your market taxes, profits, certainly remains subject to what we
see as our needs, allowing them some comforts for their successful efforts, but
none for their failures. Except the bare minimum that we may grant all humans
for their sustenance, as part of their right to live and be a part of the
community. We could consider profit as our basic form of commercial taxation
and make social adjustments where we feel feasible. It also provides us with
part of the means of reducing economic and political disparities in society.
