Re: Generalized Economic Rent Tax

On Mon, 04 Jun 2007 18:27:16 -0000, "James A. Bowery"
<jabowery@xxxxxxxxx> wrote:

On Jun 3, 9:52 pm, r...@xxxxxxxxx wrote:
On Mon, 04 Jun 2007 01:12:00 -0000, "James A. Bowery"
Milton Friedman has declared such taxation the "least distorting" kind
of tax.

It's only non-distorting if the elasticity of supply is zero, as it is
with land, IP monopolies and a few other privileges. It is not zero
for capital.

The elasticity of land is not zero.

Yes, of course it is.

We can even ignore problematic
cases like Holland, which create land out of water,

That is of course just a lie.

and New Orleans,
which creates land out of swamp,

The land was already there. It was just wet.

and look to any land area that
requires some governance or technology to take it to market.

?? What kind of brain disease is it that prompts anti-LVT ninnies to
claim land can be "taken to market"? Land cannot be taken anywhere.
Its location is as fixed as its supply. That is kinda the point.
Duh.

The cost
of the governance or technology may be entirely external.

And is certainly entirely irrelevant.

Elasticity of supply for land = zero. Learn it, or continue to talk
nonsense on the subject permanently.

-- Roy L
.

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