138 THE HIGH COST OF LIVING 



In addition, these distant states are recognizing 

 that land, from which all wealth ultimately comes, 

 is designed for use and that use is the only justifia- 

 ble title to occupancy. And they are breaking up 

 land monopoly by taxation, by farm colonies, and 

 by cheap credit, and are placing farmers upon the 

 soil. Australia has had the same experience as the 

 United States, where land was seized by monopolists 

 or acquired at a few cents per acre, and, being prac- 

 tically free from taxation, was held for speculation, 

 for grazing, or for some other use not beneficial to 

 the country. To defeat these monopolists and end 

 tenancy land has been taxed at a heavier rate than 

 buildings, while state-aided farm colonies have peo- 

 pled great stretches of unoccupied land. 



AustraUa, hke Denmark and Germany, has dis- 

 covered that the state must play an important role 

 in the protection of its producers and that such 

 protection can only be secured when certain func- 

 tions are performed by the state itself. 



