"While the Gold Power was international in its character, and not
loyal to any country, it always took an active interest in moulding
the opinions of the dominant political parties of all countries. It
was necessary for it to have at least two favorites among the dominant
parties, so that by turns they might spring reforms, so-called,
based on half truths, to attract the constantly increasing number
of dissatisfied voters. The demand for an increased volume of money
in order to raise the wages of labor and the price of farm products
was a question of this character, and it was sufficient to sidetrack
and head off a more searching investigation as to the real causes of
poverty. This was met by the demand for a better quality of money that
would purchase more goods. The arguments in favor of both, contained
half truths which were dwelt upon with great force, but the success
of either, still left the gold power, directly or indirectly, in a
position to control the situation.
"The same thing was true in regard to the tariff question which the
gold power made a dominant issue between its favorite parties. The
question itself could be used to call attention away from the question
of finance, which had a more direct bearing upon the vital matter of
EXCHANGE and was therefore more likely to educate the people to a
point where they could no longer be deluded by an ingenious discussion
of half truths. This question, in order to be made available for
the purposes of the gold power, must necessarily have two SEEMINGLY
antagonistic political parties to go before the people. One party
advocated a tariff-for-revenue, with Free Trade arguments, while the
other advocated a tariff-for-protection, and appealed to the laboring
classes to maintain liberal wages for themselves by voting for a high
tariff that would exclude foreign goods.
"The positions taken by these parties were about equally delusive and
neither would have in the least delayed the dangerous encroachments
of the gold power. A tariff-for-revenue could in no sense be a Free
Trade party, but it did propose to raise revenue by duties on imports.
This duty would of course be paid by the people as part of the price
of the goods which they consumed, and hence the tax would be in
proportion to their expenses without any reference to their incomes.
Those who expended their entire incomes in consumption would be taxed
upon the whole, while those who expended only a small fraction, would
be taxed only on the fraction so expended. As a system of taxation
it is difficult to conceive of one that would be more unequal in its
bearings, and more oppressive to people of small incomes.
Public-domain text, read in full here on John Shaqi.
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