
The Facebook Effect (On Real Estate Prices) - dmnd
http://techcrunch.com/2015/04/28/the-facebook-effect-on-real-estate-prices/
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nwah1
Titleholders that have done nothing to cause the increased value get windfall
gains from nearby productivity, simply because the government has granted them
exclusive usage rights over the land.

That land value should be taxed, and used to pay for public services, or
returned as a dividend to the citizens.

Taxing such unearned windfall gains has a very different economic impact than
taxing earned income or sales. Taxing production reduces production. Taxing
idle landholding just reduces wasteful land use.

Because taxes only harm supply when the thing in question is a product of
human labor. Taxing land doesn't make land go away, like it does for most
other things.

