Loading ...
Sorry, an error occurred while loading the content.

14276Re:Total land rent?

Expand Messages
  • roy_langston
    Nov 11, 2012
      --- In LandCafe@yahoogroups.com, Dave Wetzel <davewetzel42@...> wrote:

      > Surely all taxation on a productive enterprise occupying a site reduces the
      > rent that an entrepreneur will be able to pay for a site?

      Only if it reduces the economic advantage the user of that site enjoys over a user of inferior sites. That will almost always be the case, but it is worth being clear on it. As an example, a gas tax may burden enterprises using distant (thus less advantageous) sites more than those using the closest (most advantageous) sites. So the rent of the more advantageous sites could rise as a result of the gas tax.

      > Hence all current taxation REDUCES land rent.

      Untrue, as demonstrated above.

      > Therefore total LVT receipts (at 100% LVT) = total current govt taxation
      > plus any increases in land rent arising from increased productivity etc
      > (not increases in land price due to land speculation).

      Huge non sequitur. There is no reason to expect LVT revenue to track current government tax revenue.

      > Or am I up the wrong tree?

      Yep. That cat won't hunt.

      -- Roy Langston
    • Show all 23 messages in this topic