44
" Dynasty and government serve as the world's market place, attracting to it the products of scholarship and craftsmanship alike. Wayward wisdom and forgotten lore turn up there. In this market stories are told and items of historical information are delivered. Whatever is in demand on this market is in general demand everywhere else. Now, whenever the established dynasty avoids injustice, prejudice, weakness, and double-dealing, with determination keeping to the right path and never swerving from it, the wares on its market are as pure silver and fine gold. However, when it is influenced by selfish interests and rivalries, or swayed by vendors of tyranny and dishonesty, the wares of its market place become as dross and debased metals. The intelligent critic must judge for himself as he looks around, examining this, admiring that, and choosing this. "
― Ibn Khaldun , The Muqaddimah: An Introduction to History
49
" In the early stages of the state, taxes are light in their incidence, but fetch in a large revenue; in the later stages the incidence of taxation increases while the aggregate revenue falls off.
Now where taxes and imposts are light, private individuals are encouraged to engage actively in business; enterprise develops, because business men feel it worth their while, in view of the small share of their profits which they have to give up in the form of taxation. And as business prospers the number of taxes increases and the total yield of taxation grows.
As time passes and kings succeed each other, they lose their tribal habits in favour of more civilized ones. Their needs and exigencies grow.... owing to the luxury in which they have been brought up. Hence they impose fresh taxes on their subjects -farmers, peasants, and others subject to taxation; sharply raise the rate of old taxes to increase their yield; and impose sales taxes and octrois, as we shall describe later. These increases grow with the spread of luxurious habits in the state, and the consequent growth in needs and public expenditure, until taxation burdens the subjects and deprives them of their gains. People get accustomed to this high level of taxation, because the increases have come about gradually, without anyone’s being aware of who exactly it was who raised the rates of the old taxes or imposed the new ones.
But the effects on business of this rise in taxation make themselves felt. For business men are soon discouraged by the comparison of their profits with the burden of their taxes, and between their output and their net profits. Consequently production falls off, and with it the yield of taxation.
The rulers may, mistakenly, try to remedy this decrease in the yield of taxation by raising the rate of the taxes; hence taxes and imposts reach a level which leaves no profits to business men, owing to high costs of production, heavy burden of taxation, and inadequate net profits. This process of higher tax rates and lower yields (caused by the government’s belief that higher rates result in higher returns) may go on until production begins to decline owing to the despair of business men, and to affect population. The main injury of this process is felt by the state, just as the main benefit of better business conditions is enjoyed by it.
From this you must understand that the most important factor making for business prosperity is to lighten as much as possible the burden of taxation on business men, in order to encourage enterprise by giving assurance of greater profits. "
― Ibn Khaldun
53
" The intellect (mind), indeed, is a correct scale. Its indications are completely certain and in no way wrong. However, the intellect should not be used to weigh such matters as the oneness of God, the other world, the truth of prophecy, the real character of the divine attributes, or anything else that lies beyond the level of the intellect. That would mean to desire the impossible. One might compare it with a man who sees a scale in which gold is being weighed, and wants to weigh mountains in it. The (fact that this is impossible) does not prove that the indications of the scale are not true (when it is used for its proper purpose). However, there is a limit at which the intellect must stop. It cannot go beyond its own level. Thus, it cannot comprehend God and His attributes. It is but one of the atoms of the world of existence which results from (God). This shows that those who give the intellect preference over (traditional) information in such matters are wrong, deficient in understanding, and faulty in reasoning. This, then, explains the true situation in this respect. "
― Ibn Khaldun , The Muqaddimah: An Introduction to History
