DANGEROUS CATCH CRY

Dominion, Volume 11, Issue 235, 22 June 1918, Page 9

DANGEROUS CATCH CRY

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,'?' CONSCRIPTION OF WEALTH" WHAT DOES IT MEAN?

f The stupendous war debts of the belligerent countries and tho problems which they will bring woro discussed; by 111'. 'H. Beauchainp' in his address to the shareholders' of tho Bank of Now Zealand yesterday. "The -problem of adjusting the war 'debts of tho countries concerned will, .when hostilities cease, become one of the most pressing importance. How is the burden of debt to be lifted, and what are the steps to be taken in order to make an equitable distribution of it? lAlready tho glib tongues of the unthinking aro busy with the catch-phrases 'Conscription, of Wealth' and 'Levy on Capital'—terms which, to a certain section of society accustomed to only superficial examination of complex problems, lave- a' particularly alluring sound, and appear to bo considered us affording an easy way to a solution of the difficulty. ■If by 'conscription of wealth' is meant merely that tho vast expense .of tho war must be met largely by thoso who are test, able to pay for it, no one could raise any.just or valid objection. But when tho. phrase is used merely as the antithesis to 'conscription of life,' it implies that those without property have Ibeeu forced to givo their lives, wheroas tho moneyed classes have not, and that, to make tho sacrifice equal, the latter should be compelled to surrender their ,-wealth, or else tho.former should refuse to make further sacrifices. No imputation, could be more unfair or'unjust. As far as life is concerned, the rich have mado sacrifices in this war 'on a Bcale, I believe, proportionately greater than the poor. When the call to arms came, the sons of the British aristocracy and of what are known as tho 'upper classes of society, rushed voluntarily to the colours, and it is well known that there is hardly a family of- any distinction , in ■ Great Britain that does not now mourn the loss of one or nioro of its male members. As a matter of fact, there aro many ancient British houses that will liecome extinct as a consequence of the .-war, and many others that are threatened with extinction. And what applies in the Old Country ' applies equally hore, although tho differences are of courso less marked. "But supposing tho imputation were true, which it is not, who wonld con-, tend that tho sacrifice of life on the one hand could be equalised by a cash payment on the other? Then, again, what would be the practical result of a levy on Capital'? It would bo nothing more than a" penalty on thrift. Tho man who, by dint of care and self-denial, has laboriously built up a little capital out of his savings-and it must be understood thai tho phrase includes all degrees ot capital and not merely largo accumula-tions-is to be taxed, . while- tho man .who has spent, year after year, the wholo of his income in perhaps riotons living, 33 to set off scot free. Could anything bo inoro mischievous? ... "Furthermore, how is such a tax to be assessed? Are a man's cash and investments only to bo taken into account, or must nil his possessions be included Surely it must, .he the latter; otherwise the man who put; his money into war loan would be worse off than the man ,who "invested in. pictures, pianos, or ipearls, which is unthinkable. If, for the purpose of- this levy, houses ana lands, stocks, machinery, plant, works of art, .personal jewellery, motor-cars, and the hundred and one items which make iiip a man's estate have to bo valued, when would the process lie completed, and what would bo tho ultimate cost? Is the tax to fall only upon tho present possessors of capital, and i 3 the capitalist of to-morrow to get off scatheless? The war is being waged not merely for the benefit of tho people of to-day, but also for the generations yet unborn, and it cannot be held to bo fuir or just that tlio capitalist'of to-day should bear the •whple or even the larger proportion of the burden. Apropos of the subject, it may bo remarked that an income tax, which oven in New Zealand rises to 7s. Cd. in the £. may, in a sense, be regarded as something approaching 'conscription of wealth.' That iwo aro Jiving in abnormal- times is undoubted,- and that exceptional measures may have to bo taken to cope with the situation is probable; but let us determine that they shall at any rate be practicable and as far as possible fair to all the interests concerned. Do not', let us waste time in considering merely academic questions, selfishly searching for measures which will; penalise one class whilst allowing the class to which we belong to escape Ecot free." .■■''.