Principles of Information Security 4th Edition Whitman Test Bank

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Henry George was a journalist, politician and political economist from the late 19th century. He is best known for his philosophy of land value taxation and writings on political economy, especially his book Progress and Poverty. The passage provides details about his life, upbringing, career in journalism and development of his political and economic views.

Henry George was born in Philadelphia in 1839 to a lower-middle-class family. He had little formal education and went to sea as a teenager. In the 1860s, he moved to California where he fell in love and got married. He worked as a journalist and editor and became increasingly involved in politics. He advocated for workers' rights and was critical of monopolies like the railroad industry.

Henry George began as a Republican but later became a Democrat. He criticized railroad interests, corrupt politicians, land speculators and labor contractors. He believed economic booms mainly benefitted landowners. He advocated for a single tax on land value to replace all other taxes to address economic inequality.

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News: Personal life[edit]


Birthplace in Philadelphia

George was born in Philadelphia to a lower-middle-class family, the second of ten children of
Richard S. H. George and Catharine Pratt George (née Vallance). His father was a publisher of
religious texts and a devout Episcopalian, and sent George to the Episcopal Academy in
Philadelphia. George chafed at his religious upbringing and left the academy without
graduating.[12][13] Instead he convinced his father to hire a tutor and supplemented this with avid
reading and attending lectures at the Franklin institute.[14] His formal education ended at age 14 and
he went to sea as a foremast boy at age 15 in April 1855 on the Hindoo, bound
for Melbourne and Calcutta. He ended up in the American West in 1858 and briefly considered
prospecting for gold but instead started work the same year in San Francisco as a type setter.[14]
In California, George fell in love with Annie Corsina Fox, an eighteen-year-old girl from Sydney who
had been orphaned and was living with an uncle. The uncle, a prosperous, strong-minded man, was
opposed to his niece's impoverished suitor. But the couple, defying him, eloped and married in late
1861, with Henry dressed in a borrowed suit and Annie bringing only a packet of books. The
marriage was a happy one and four children were born to them. On November 3, 1862 Annie gave
birth to future United States Representative from New York, Henry George, Jr. (1862–1916). Early
on, even with the birth of future sculptor Richard F. George (1865 – September 28, 1912),[15][16] the
family was near starvation.
George was raised as an Episcopalian, but he believed in "deistic humanitarianism". Fox was Irish
Catholic, but Henry George Jr. wrote that the children were mainly influenced by Henry
George's deism and humanism.[17]

Career in journalism[edit]
George in 1865, age 26

After deciding against gold mining in British Columbia, George was hired as a printer for the newly
created San Francisco Times,[18] and was able to immediately submit editorials for publication,
including the popular What the Railroads Will Bring Us., which remained required reading in
California schools for decades. George climbed the ranks of the Times, eventually becoming
managing editor in the summer of 1867.[19][20] George worked for several papers, including four years
(1871–1875) as editor of his own newspaper San Francisco Daily Evening Post and for a time
running the Reporter, a Democratic anti-monopoly publication.[21][22][23] The George family struggled
but George's increasing reputation and involvement in the newspaper industry lifted them from
poverty.
George's other two children were both daughters. The first was Jennie George, (c. 1867–1897), later
to become Jennie George Atkinson.[24]George's other daughter was Anna Angela George (b. 1878),
who would become mother of both future dancer and choreographer, Agnes de Mille[25]and future
actress Peggy George, who was born Margaret George de Mille.[26][27]

Political and economic philosophy[edit]


George began as a Lincoln Republican, but then became a Democrat. He was a strong critic of
railroad and mining interests, corrupt politicians, land speculators, and labor contractors. He first
articulated his views in an 1868 article entitled "What the Railroad Will Bring Us." George argued that
the boom in railroad construction would benefit only the lucky few who owned interests in the
railroads and other related enterprises, while throwing the greater part of the population into abject
poverty. This had led to him earning the enmity of the Central Pacific Railroad's executives, who
helped defeat his bid for election to the California State Assembly.[23][28][29]
One day in 1871 George went for a horseback ride and stopped to rest while overlooking San
Francisco Bay. He later wrote of the revelation that he had:
I asked a passing teamster, for want of something better to say, what land was worth there. He
pointed to some cows grazing so far off that they looked like mice, and said, "I don't know exactly,
but there is a man over there who will sell some land for a thousand dollars an acre." Like a flash it
came over me that there was the reason of advancing poverty with advancing wealth. With the
growth of population, land grows in value, and the men who work it must pay more for the
privilege.[30]
Iconic portrait, taken shortly after writing Progress and Poverty

Furthermore, on a visit to New York City, he was struck by the apparent paradox that the poor in that
long-established city were much worse off than the poor in less developed California. These
observations supplied the theme and title for his 1879 book Progress and Poverty, which was a
great success, selling over 3 million copies. In it George made the argument that a sizeable portion
of the wealth created by social and technological advances in a free market economy is possessed
by land owners and monopolists via economic rents, and that this concentration of unearned wealth
is the main cause of poverty. George considered it a great injustice that private profit was being
earned from restricting access to natural resources while productive activity was burdened with
heavy taxes, and indicated that such a system was equivalent to slavery—a concept somewhat
similar to wage slavery. This is also the work in which he made the case for a land value tax in which
governments would tax the value of the land itself, thus preventing private interests from profiting
upon its mere possession, but allowing the value of all improvements made to that land to remain
with investors.[31][32]
George was in a position to discover this pattern, having experienced poverty himself, knowing many
different societies from his travels, and living in California at a time of rapid growth. In particular he
had noticed that the construction of railroads in California was increasing land values and rents as
fast as or faster than wages were rising.[28][33]

Political career[edit]
In 1880, now a popular writer and speaker,[34] George moved to New York City, becoming closely
allied with the Irish nationalist community despite being of English ancestry. From there he made
several speaking journeys abroad to places such as Ireland and Scotland where access to land was
(and still is) a major political issue.
Campaigning for mayor in 1897, just before his death

In 1886, George campaigned for mayor of New York City as the candidate of the United Labor Party,
the short-lived political society of the Central Labor Union. He polled second, more than the
Republican candidate Theodore Roosevelt. The election was won by Tammany
Hallcandidate Abram Stevens Hewitt by what many of George's supporters believed was fraud. In
the 1887 New York state elections, George came in a distant third in the election for Secretary of
State of New York.[23][35] The United Labor Party was soon weakened by internal divisions: the
management was essentially Georgist, but as a party of organized labor it also included
some Marxist members who did not want to distinguish between land and capital,
many Catholic members who were discouraged by the excommunication of Father Edward
McGlynn, and many who disagreed with George's free trade policy. George had particular trouble
with Terrence V. Powderly, president of the Knights of Labor, a key member of the United Labor
coalition. While initially friendly with Powderly, George vigorously opposed the tariff policies which
Powderly and many other labor leaders thought vital to the protection of American workers. George's
strident criticism of the tariff set him against Powderly and others in the labor movement.[36]

Death and funeral[edit]


George's first stroke occurred in 1890, after a global speaking tour concerning land rights and the
relationship between rent and poverty. This stroke greatly weakened him, and he never truly
recovered. Despite this, George tried to remain active in politics. Against the advice of his doctors,
George campaigned for New York City mayor again in 1897, this time as an Independent Democrat.
The strain of the campaign precipitated a second stroke, leading to his death four days before the
election.[37][38][39]
An estimated 100,000 people visited Grand Central Palace during the day to see Henry George's
face, with an estimated equal number[40] crowding outside, unable to enter, and held back by police.
After the Palace doors closed, the Reverend Lyman Abbott, Father Edward McGlynn, Rabbi Gustav
Gottheil, R. Heber Newton (Episcopalian), and John Sherwin Crosby delivered
addresses.[41] Separate memorial services were held elsewhere. In Chicago, five thousand people
waited in line to hear memorial addresses by the former governor of Illinois, John Peter Altgeld,
and John Lancaster Spalding.[42]
George's funeral procession on Madison Avenue

The New York Times reported that later in the evening, an organized funeral procession of about
2,000 people left from the Grand Central Palace and made its way through Manhattan to
the Brooklyn Bridge. This procession was "all the way ... thronged on either side by crowds of silent
watchers."
The procession then went on to Brooklyn, where the crowd at Brooklyn City Hall "was the densest
ever seen there." There were "thousands on thousands" at City Hall who were so far back that they
could not see the funeral procession pass. It was impossible to move on any of the nearby
streets. The Times wrote, "Rarely has such an enormous crowd turned out in Brooklyn on any
occasion," but that nonetheless, "[t]he slow tolling of the City Hall bell and the regular beating of
drums were the only sounds that broke the stillness. ... Anything more impressive ... could not be
imagined."[43] At Court Street, the casket was transferred to a hearse and taken to a private funeral
at Fort Hamilton. Commentators disagreed on whether it was the largest funeral in New York history
or the largest since the death of Abraham Lincoln. The New York Times reported, "Not even Lincoln
had a more glorious death."[44] Even the more conservative New York Sun wrote that "Since the Civil
War, few announcements have been more startling than that of the sudden death of Henry
George."[45]

The grave of Henry George, Green-Wood Cemetery


Views and policy proposals[edit]

Socialization of land and natural resource rents[edit]


Henry George is best known for his argument that the economic rent of land (location) should be
shared by society. The clearest statement of this view is found in Progress and Poverty: "We must
make land common property."[46][47] By taxing land values, society could recapture the value of its
common inheritance, raise wages, improve land use, and eliminate the need for taxes on productive
activity. George believed it would remove existing incentives toward land speculation and encourage
development, as landlords would not suffer tax penalties for any industry or edifice constructed on
their land and could not profit by holding valuable sites vacant.[48]
Broadly applying this principle is now commonly known as "Georgism." In George's time, it was
known as the "single-tax" movement and sometimes associated with movements for land
nationalization, especially in Ireland.[49][50][51] However, in Progress and Poverty, George did not favor
the idea of nationalization.
I do not propose either to purchase or to confiscate private property in land. The first would be
unjust; the second, needless. Let the individuals who now hold it still retain, if they want to,
possession of what they are pleased to call their land. Let them continue to call it their land. Let them
buy and sell, and bequeath and devise it. We may safely leave them the shell, if we take the kernel.
It is not necessary to confiscate land; it is only necessary to confiscate rent.[52]

Municipalization of utilities and free public transit[edit]


George considered businesses relying on exclusive right-of-way land privilege to be "natural"
monopolies. Examples of these services included the transportation of utilities (water, electricity,
sewage), information (telecommunications), goods, and travelers. George advocated that these
systems of transport along "public ways" should usually be managed as public utilities and provided
for free or at marginal cost. In some cases, it might be possible to allow competition between private
service providers along public "rights of way," such as parcel shipping companies that operate on
public roads, but wherever competition would be impossible, George supported
complete municipalization. George said that these services would be provided for free because
investments in beneficial public goods always tend to increase land values by more than the total
cost of those investments. George used the example of urban buildings that provide free vertical
transit, paid out of some of the increased value that residents derive from the addition of
elevators.[53][54]

Intellectual property reform[edit]


George was opposed to or suspicious of all intellectual property privilege, because his classical
definition of "land" included "all natural forces and opportunities." Therefore, George proposed to
abolish or greatly limit intellectual property privilege. In George's view, owning a monopoly over
specific arrangements and interactions of materials, governed by the forces of nature, allowed title-
holders to extract royalty-rents from producers, in a way similar to owners of ordinary land titles.
George later supported limited copyright, on the ground that temporary property over a unique
arrangement of words or colors did not in any way prevent others from laboring to make other works
of art. George apparently ranked patent rents as a less significant form of monopoly than the owners
of land title deeds, partly because he viewed the owners of locations as "the robber that takes all that
is left." People could choose not to buy a specific new product, but they cannot choose to lack a
place upon which to stand, so benefits gained for labor through lesser reforms would tend to
eventually be captured by owners and financers of location monopoly.

Free trade[edit]
George was opposed to tariffs, which were at the time both the major method of protectionist trade
policy and an important source of federal revenue, the federal income tax having not yet been
introduced. He argued that tariffs kept prices high for consumers, while failing to produce any
increase in overall wages. He also believed that tariffs protected monopolistic companies from
competition, thus augmenting their power. Free trade became a major issue in federal politics and
his book Protection or Free Trade was the first book to be read entirely into the Congressional
Record.[55] It was read by five Democratic congressmen.[56][57]
In 1997, Spencer MacCallum wrote that Henry George was "undeniably the greatest writer and
orator on free trade who ever lived."[58]
In 2009, Tyler Cowen wrote that George's 1886 book Protection or Free Trade "remains perhaps the
best-argued tract on free trade to this day."[59]
Jim Powell said that Protection or Free Trade was probably the best book on trade written by anyone
in the Americas, comparing it Adam Smith's Wealth of Nations. Milton Friedmansaid it was the most
rhetorically brilliant work ever written on trade.[60] Friedman also paraphrased one of George's
arguments in favor of free trade: "It's a very interesting thing that in times of war, we blockade our
enemies in order to prevent them from getting goods from us. In time of peace we do to ourselves by
tariffs what we do to our enemy in time of war."[61]

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