Distributive Justice: The Right and Wrong of Our Present Distribution of WealthRyan, John A. (John Augustine)
PhilosophyChristian
Distributive Justice: The Right and Wrong of Our Present Distribution of Wealth
Ryan, John A. (John Augustine)
Economic history; Income distribution -- Moral and ethical aspects; Wealth -- Religious aspects
As a consequence of these counteracting influences, it appears that
the share of the landowners has not increased disproportionately. The
most comprehensive endeavour yet made to determine the growth and
relative size of the different shares of the national product is
embodied in Professor W. I. King's volume, "The Wealth and Income of
the People of the United States," published in 1915. It estimates
that the total annual income of the nation increased from a little
less than two and one-fourth billions of dollars in 1850 to a little
more than thirty and one-half billions in 1910, or slightly more than
fifteen times. During the same period rent, the share of the
landowners, advanced from $170,600,000 to $2,673,900,000, or about
fifteen and three quarter times. In the year 1910, therefore, the
landowners were receiving but a very small fraction more of the
national product than their predecessors obtained sixty years
earlier.[61] As to the relative size of the shares going to the
different factors in 1910, the figures are even more remarkable. Wages
and salaries absorbed 46.9 per cent.; profits, 27.5 per cent.;
interest, 16.8 per cent.; and rent, only 8.8 per cent.[62] This was
exactly the same per cent. that the landowners received in 1860. To be
sure, these figures are only approximations, but they are probably the
most reliable that can be obtained from our notoriously incomplete
statistics, and they will deserve respectful consideration until they
have been refuted by specific criticism and argument. In the opinion
of their compiler: "The figures for wages and salaries are believed to
be fairly accurate; those for rent are thought to have an error of not
more than twenty per cent. The separation of the share of capital from
that of the entrepreneur is very crudely done and no stress should be
laid on the results. The total for all shares is thought to be more
accurate than the mode of distribution, and for the last three census
years should come within ten per cent. of the correct statement of the
national income. For earlier years the error should not be over twenty
per cent. at the outside."[63] If we make the maximum allowance for
error in reference to the share of the landowner, and assume that the
rent estimate is twenty per cent. too low, we find that it was still
only ten and one-half per cent. of the total product in 1910, which
represents an increase of less than three per cent. since 1850. It is
significant that Dr. Howe, who has no bias toward belittling the share
of the landowner, suggested as his minimum and maximum estimates of
the land values of the country in 1910 figures which are respectively
fifty per cent. below and only five per cent. above the amount taken
by Professor King as the basis for his estimate of rent.[64] There is,
consequently, a strong presumption that Professor King is right when
he stigmatises as "absurd" the contention of the Single Taxer, "that
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