The Globe. FRIDAY, AUGUST 24, 1877.

Globe, Volume VIII, Issue 987, 24 August 1877, Page 2

The Globe. FRIDAY, AUGUST 24, 1877.

A LA.KM.KD at the prospect of the imposition of direct taxation, the Li/IIdtou Times this morning comes to the rescue of the capitalist and land monopolist. He has not the courage, however, to boldly take his stand as their advocate, and discuss the question from their stand-point; hut, in humble imitation of an illustrious example, he conceals his true motives under the, guise of philanthropy. Tt is not so much Ihe effect of the proposed changes on 1 ho land owners and capitalists which disturbs him, he would make us believe, but it is their consequence upon the ' laboring interest.” If property in land and income be taxed, we are told, not only may the capital already in the country “ be threatened with restrictions disastrous to the laboring interest, but the introduction of fresh capital for the development of the resources of the country may be checked.” We do not suppose the “ laboring interest” will be greatly alarmed at the prospect thus placed before them. At the present time the foreign capital employed

in tlie colony is chiefly invested inland for speculative purposes. Instead of, in those circumstances, developing the resources of the country, it only wastes them. In what way is the country benefitted, we would ask, by large tracts of land being bought up and held, till such times as the labor of the colony has rendered them four times as valuable as they were when, bought ? The owner has perhaps never expended a sixpence in improving his estate ; he only waits till he finds himself enriched by the labor of those who have been settling round his possessions. Not only so, the colony has actually been borrowing millions to make railways for the benefit, amongst others, of the foreign capatalist who has hitherto contributed nothing towards the interest. But even had this tax the effect of keeping some foreign capital out of the country would any great harm result ? It i s a well-know n fa ct that our enormou s land sales are due to foreign capital. These‘■'large sales aye far from being an uumixed good. When they are not made for the purposes of bona fide settlement, but for speculative purposes, they are more or less injurious. The future occupier has to pay an increased price for the land, which in other circumstances lie might have bought at the upset price from the Government. And what becomes of the money which the settler is thus compelled to pay the land speculator ? Unless re-invested in a similar manner, it goes straight out of the country, without being taxed in any shape whatever. We would ask our readers, is foreign capital, so employed, any benefit to the colony, or in what way does it develop our resources? The “ labouring interest” can do very well without such aid. But let us look at the other side of the question, and as it affects “ the labouring interest.” For fear of driving some capital out of the country, which we can do very well without, the Lyttelton Times wishes us to continue on.r present system of taxation. But if it be a question of foreign capital versus labour, is the latter to have no consideration ? Is the working man to be taxed unjustly, in order that the foreign capitalist may speculate in our lands undisturbed by the visit of the tax-gatherer? The Lyttelton Times thinks so, and, by raising a false issue, endeavours to divert attention from the real question involved.