THE CAPITALISTIC SYSTEM

Waikato Times, Volume 127, Issue 21223, 20 September 1940, Page 7

THE CAPITALISTIC SYSTEM

(To the Editor) Sir, —I thank Mr Crabb for hit definition of the capitalistic systedl The definition is at fault at base because the owners of the capital <k not produce goods solely for profit In point of fact the majority of con oerns do not make enough profits t< pay dividends. Further, many ot these capitalists are poor folk, an< even workers, as a scrutiny of shari holdings will prove the fact of smet holders. Further, on an examination of accounts, it will be found that practically in every case the proletariat workers receive more purchaiinj power out of the business than the proprietors. Yet the proprietors have all the responsibility of the concern May I ask a further question? Ii there not capital in a business apart from the financial shares? Business men are not in businas for profits solely; other facts control the heads of business. Mr Crabb will have to revise his ideas of business as they do not agree with the socialistic idea. Surely Mi> Crabb does not believe in his last paragraph ! If the policy of the Socialist is as stated, then why is it that standardised wages are paid, irrespective of the quality of the work produced? A basic i standard of living wage involves the doctrine of equality in income, and and the present policy of taxation proves the error of Mr Crabb’s statement.—l am, etc., JOHN SMYTHE Hamilton, September 19.