1. Politics, Book IV Regime analysis, pt. 2

2. From last lecture: Democracies aim for equality; They may therefore seek to redistribute income and/or wealth Through tax policy Aristotle calls this “unjust” (p. 75).

3. Taxation options Redistributive taxes: Progressive, or graduated income tax What is an income tax? Vs. a salaries tax? Percentage rises with income (U.S. and EU countries); Inheritance tax: redistributes wealth. Not redistributive: Flat tax (salary/income) Sales taxes = regressive Poor pay larger percent of income—why? Only limited redistributive effect; some income passes from salary-earners to very poor; Salaries tax may not apply to rich—why?

4. Two tax models Athenian model Tax those with most means Only rich paid tax— liturgy of the choregia, trierarchy Poor and middle class do not pay Disabled poor received welfare A true redistributive system. HK model Wage-earners pay Salaries tax Stamp duty on property transactions Non wage-earners pay: no salaries tax no income tax no inheritance tax but liable for stamp duty Possible GST in future for everyone.

5. There are also many other possible models too. What is your proposal?

6. Aristotle revisits types of regimes “…the true legislator ought to be acquainted, not only with what is best in the abstract, but also with that which is best relatively to circumstances”; “We should consider…what is possible, and what is easily attainable by all”; “…most perfect” regime requires “many natural advantages” (92) To be elaborated in Book 7.

7. Good versus Bad Regimes One RulerFew RulersMany Rulers Good: in interest of all Kingship: “divine”, best of all Aristocracy Next best Constitutional rule: easily perverted into democracy Bad: in interest of rulers only Tyranny: Worst b/c corruption of best *Oligarchy common, but bad *Democracy common, but ”tolerable”

8. Plurality of regimes More regimes than these six; As many as there are permutations of the various possible classes; E.g. notables, farmers, artisans, military, traders, rowers, ferrymen etc. Offices distributed “according to the power which different classes possess…or according to some principle of equality” (94).

9. What is a constitution? Additional definition The system of law, custom and structure of the state, e.g. Constitutions of Sparta or Athens; Refinement: “A constitution is the organization of offices in a state, and determines what is to be the governing body, and what is the end of each community” (emph. added; 92); Note Aristotle’s reference to the end A constitution is more than organization.

10. Laws vs constitutional principles “But laws are not to be confounded with the principles of the constitution” (92- 3); E.g. right to free speech = principle; Laws specify how this right is to be guaranteed; Laws = the how Principles express the end(s) (telos).

11. Oligarchy vs Democracy: Most common forms Oligarchy Rule by few rich, Not the few, if they are poor; “no one would ever call such a government, in which the rich majority have no share of office, an oligarchy” (95). Democracy Rule by many poor (96); Not the many, if they are rich; “no one will say that this is a democracy” (95); Why? Because citizens are not equal.

12. Democracy: perverted, but not tyranny Perversion of best regime (kingship) into tyranny is worst of all; Worse even than democracy! Democracy is “tolerable,” because it is a perversion of a regime that is not “divine” (93); Is there more than one variety of democracy?

13. Varieties of democracy Several forms of democracy (98-9): No property qualification, all share in office; Property qualification for office; Lower property qualification; Law supreme in all of the above; Worst form: people, not law, is supreme (John Locke’s model).

14. Supremacy of people or law? John Locke (17 th cent.) argued that people, not gov’t, should be supreme; People would be the source of the law; Aristotle argues that “where the laws have no authority, there is no constitution” (99).

15. Supremacy of laws Why should law be supreme? People always subject to passions; Large number less corruptible, But can be led by demagoges; Laws, especially customary ones, are respected and have stood test of time (see previous lecture). Any problem with this view?

16. Mean versus extremes of rich and poor Oligarchy Rich raised in luxury, cannot obey; Rich rule as despots; No ruling/being ruled; City of masters and slaves (107). Democracy Poor = “too degraded” to rule Middle-class city (107ff.) Middle class = mean; The mean is best; Middle class is most secure, has goods but not in excess; They rule and are ruled in turn.

17. Middle-class city best “Great then is the good fortune of state in which the citizens have a moderate and sufficient property; for where some possess much, and the other nothing, there may arise an extreme democracy, or a pure oligarchy; or a tyranny may grow of either extreme.”

18. Theory of the middle-class This may sound banal today But this is a radical thought in antiquity Consider Plato’s solution to rich vs poor: the communism of the guardians! “…best legislators [Solon, Lycurgus] have been of a middle condition” (108); Modern political scientists have borrowed Aristotle’s insight (e.g. S. M. Lipset).

19. Question 1 As Aristotle stated, "As a feast to which all the guests contribute is better than a banquet furnished by a single man" (86), he proposed that when the law cannot determine a point, it is better for many than just the one best man to decide on a particular case. He implies that on the basis of collective wisdom, the judgment of a multitude is better than that of any individual. Nevertheless, I doubt if his argument is strong enough, as he focuses mainly on the positive side, e.g. by bringing out the fact that "the many is more incorruptible than the few."

20. Q.1, cont. At the same time he maintained that passion must sway the heart of "the best man" (88) as human beings are made up of appetites and desires. In this case how can we deal with the potential problem that the multitude's judgment, to a certain extent, is not free of passion? Suppose everyone's needs are satisfied, does it follow that we have already aimed at the common good and at the same time maintained justice?

21. Question 2 In the Constitution of Athens Aristotle stated that “we ought, moreover, to know the form of government which is best suited to states in general; for political writers, although they have excellent ideas, are often unpractical. We should consider not only what form of government is best, but also what is possible and what is easily attainable by all” (p. 92). 1) Let’s discuss the following: “We all think that democracy is a very good regime nowadays. However, democracy also has its own defects as we discussed in the last lecture. So, is it really practical to carry out in Hong Kong at this moment? ”

22. Q. 2, cont. Moreover, Aristotle also mentioned that “the reason why there are many forms of government is that every state contains many elements” (p.94). And he stated that “we have now to consider what kind of government is suitable to what and what kind of men” (p.109). 2) So, I want to ask whether democratic government is really suitable to the PRC or not? As the population is so huge in China, the problem of inefficiency may be large. Do you agree?