Property and Privilege

The text examines how property rights, especially passive ownership (e.g., rentiers, shareholders, landowners), create unearned income and privilege, functioning as a form of private taxation without corresponding social function.

The chapter critiques absolute property rights as the foundation of social organization, arguing they privilege owners without requiring service or function.

Discusses the absolute rights of property and the resistance to imposing social obligations on property tenure, including examples like factory legislation and taxation.

Discusses how property and inherited wealth create unequal opportunities, allowing some to draw dividends without performing any function, and notes that privilege returns in a new guise after the gospel of 1789.

The chapter distinguishes between property used for service or use (legitimate) and property for acquisition or power (illegitimate), arguing that functionless property is a parasite on creative energy.