108 



ASPECTS OF OLD AGE PENSIONS. 



representing about 4.73 per cent, of the total capital claim. 

 If we now set down the fair proportion which the two 

 classes of producing agencies (a) and [d) can lay claim to 

 the annual consumable wealth produced and available, it 

 would stand as follows : — 



Approximate Proportion of Consumable Wealth of Aus- 

 tralia Dl.^TRIBUTED on THE BaSIS OF THE AMOUNT OF 



Relative Claim of the Actual Effective Forces of 

 THE Producing Agencies engaged. 



From this analysis, 

 it would appear that 

 capitalists, and that 

 rich capitalists : that 

 to the production of 

 that both — whether 

 commission, wages, or 

 necessaries of life by 



which is sufficiently comprehensive, 

 ordinary labourers are simply poor 

 employers and wealthy people are 

 both forms of capital are necessary 

 the current necessaries of life; and 

 as interest, rental, or tribute, or as 

 salary — derive their share of these 

 their combined action. 



In this view of the case it is no more true or false that 

 commission, wages, and salary are derived from the abstract 

 idea, capital, than that rental, interest, tribute, and taxes 

 are derived from capital. 



The object of all this reasoning is to show that if the 

 citizens of any State impose any new function — such as 

 provision for old age pensions — upon the State Adminis- 

 tration which may be deemed necessary to the life and 

 well-being of its members, it creates for the State adminis- 

 trators a real right of claim upon whatever consumable 

 wealth is available, commensurate with the cost of the 

 function so imposed. The mode of claim by the State, 

 which would correspond with that of capitalists' interest, 

 rental, wages, or salary, would be that of taxation. 



