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I picked this up from another post.


Very similar to Fred Harrison's ideas, ie that land is a natural monopoly, and should be taxed accordingly.


As Churchill said in 1909:

Roads are made; electric light turns night into day; water is brought from reservoirs a hundred miles off – and all the while the landlord sits still?...He contributes nothing to the process from which his own enrichment is derived.

Edited by BandWagon

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Veblen had the same idea in the USA. In the 1890's if I recall my economic history...

Basically that all taxes should be replaced by land tax.

Hong Kong is close to this. The government owns all land (ever since 1841) except the Anglican Cathedral that was given freehold by the Crown. The government then sells leases (normally 99 or 50 years) BUT every time you want to make an alteration to the land use, you must pay a huge premium - calculated as the difference in value of the change in lease conditions.

The govt gets a high % of revenue this way - so much so that salary tax is 16% (and tax exempt up to about 16-17000 quid income)

Downside is that building market is dominated by a few firms. Premium must be paid up front - so only huge firms can carry the cost until completion. Now and agin, talk of making it a profit tax (so pay when project is sold/ completed) but the govt is addicted to the up front cash flow (and risk free, if the project makes a loss, govt still got its money)

Oh yes, and no-one can ever "own" their own flat/ property, as everything is on lease hold terms from the state

Edited by okonu

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  • 336 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?

      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%

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