which largely transfer to the landowner _the profits which are due
to shareholders_ and the privileges which should have accrued to
the traveling public." (My italics.)[16]

No doubt Mr. Churchill's failure to mention shippers was inadvertent.

It was a practical application of these business principles and chiefly
in the interest of the employers, manufacturers, investors, and
shippers, that the State decided, as a first step, to take 20 per cent
of all the increase in land values from the present date and to levy an
annual tax of one fifth of one per cent on all land held for
speculation, _i.e._ used neither for agricultural nor for industrial nor
building purposes.

The collectivist policy, that governments should undertake to reorganize
industry and to develop the industrial efficiency of the population, is
a relatively new one, however, and where non-Socialist Liberals and
Radicals are adopting it, they do so as a rule with apologies. For while
such reforms can be considered as investments which in the long run
repay not only the community as a whole, but also the business
interests, they involve a considerable initial cost, even beyond what
can be raised by the gradual expropriation of city land rents, and the
question at once arises as to who is to pay the rest of the bill. The
supporter of the new reforms answers that the business interests should
do so, since the development of industry, which is the object of this
expenditure, is more profitable to them than to other classes. While Mr.
Churchill declares that Liberalism attacks landlordism and monopoly
only, and not capital itself, as Socialism does, he is at great pains to
show that the cost of the elaborate program of social reform is borne
not by monopolist alone, but by that larger section of the business
interests vaguely known as those possessing "Special Privileges." In
distributing the new taxes in the House of Commons, the question to be
asked of each class of wealth is, he says, "By what process was it got?"
and a distinction is to be made, not between monopoly and competitive
business, but "between wealth which is the fruit of productive
enterprise and industry or of individual skill, and wealth which
represents the capture by individuals of socially created values."[17]

"A special burden," says Mr. Churchill, "is to be laid upon certain
forms of wealth which are clearly social in their origin and have not at
any point been derive