alt.politics.economics

On Aug 31, 4:41 pm, professorchaos
wrote:
> forbisga...@ wrote:
> > If you don't utilize the land (where utilization includes renting and
> > improving it by letting it rest in a controlled way) but you are
> > expecting
> > a profit at a later date then you are speculating on its increased
> > future
> > value.
>
> > I take Roy to be saying that utilization of the land *is* putting it
> > on the market.
>
> None the less that is a bad definition. I can unitize the land by
> keeping and planting crops or by building an office building. I don't
> have to put the land on the market to be utilizing it.

Do you see a difference between generating rent from your land and
not generating rent from your land? What is that difference? If
the land value is taxed then will a person be more or less inclined
to generate rent from the land?

> That is where Roy is horribly confused. The difference between a land
> market and a market for improvements, such as a construction market. You
> can have an efficient tax on improved and unimproved value of the land
> in the land market and it is still inefficient in the market for
> improvements.

Do you believe that a tax that increases economic activity or one
that suppresses economic activity better? Does a tax on land value
increase or decrease economic activity? I think it increases economic
activity but could be wrong.