Re: 1911 Reference Book Defines Georgism


<lysander@xxxxxxxxxxx> wrote in message
news:470cfbfd$0$9597$4c368faf@xxxxxxxxxxxxxxxxx
Michael Scheltgen wrote:
lysander@xxxxxxxxxxx wrote:
Mark M. wrote:
lysander@xxxxxxxxxxx wrote:
royls@xxxxxxxxx wrote:

On Mon, 08 Oct 2007 22:53:00 -0500, "lysander@xxxxxxxxxxx"
<lysander@xxxxxxxxxxx> wrote:

I have lied about nothing.


You have lied constantly about what I have said, and about what Henry
George and geoists say.

-- Roy L


Roy you don't even understand the implications of what you have said.
I have explained to you what what you said means. Like if the market
for land is a monopoly there can be no supply curve because the supply
curve is based on price taking behavior. In a monopoly structure,
there is no supply curve so it can't be vertical.


Nah, you're a liar.

Mark M.


The ignorance is outstanding. I suggest if you want to study economics
pick up a basic textbook. The supply curve assumes price taking behavior
and only exist in perfect competition.


Lysander is correct here. There is not a unique relationship between
market price and the quantity supplied by a monopolist. The profit
maximizing quantity is where marginal revenue = marginal cost, not
marginal Cost = price (as is the case in a PC market).

But what does this have to do with the total supply of land in a country
being fixed?


Very simple. The assumption of zero elasticity of supply can not hold
under anything but perfect competition. If you want to make arguments
about taxes not being shifted and the market structure is not perfect
competition, which Roy argues it is not, then you can't use this
assumption. Rather you have to look at a constant marginal cost, lost
profits - taxes, of selling. Under a oligopoly, monopoly, or monopolistic
competition you will not find that the non-shifting hypothesis applies.

Wrong. A monopolist will set production at the point where marginal cost =
marginal revenue.Since LVT is payable whether or not the land is sold, costs
and revenues are reduced by the same amount, which means there's no tax
shifting.

The only way you get 'shifting' is due to income effects.However, if you
include income effects in the model, it doesn't tell you anything about
efficiency.



.

Relevant Pages

  • Re: 1911 Reference Book Defines Georgism
    ... Roy you don't even understand the implications of what you have said. ... Like if the market for land is a monopoly there can be no supply curve because the supply curve is based on price taking behavior. ... The profit maximizing quantity is where marginal revenue = marginal cost, not marginal Cost = price. ...
    (sci.econ)
  • Re: 1911 Reference Book Defines Georgism
    ... Mark M. wrote: ... Roy you don't even understand the implications of what you have said. ... Like if the market for land is a monopoly there can be no supply curve because the supply curve is based on price taking behavior. ... In a monopoly structure, there is no supply curve so it can't be vertical. ...
    (sci.econ)
  • Re: 1911 Reference Book Defines Georgism
    ... Roy you don't even understand the implications of what you have said. ... there is no supply curve so it can't be vertical. ... Nah, you're a liar. ... The ignorance is outstanding. ...
    (sci.econ)
  • Re: 1911 Reference Book Defines Georgism
    ... George and geoists say. ... Roy you don't even understand the implications of what you have said. ... Like if the market for land is a monopoly there can be no supply curve because the supply curve is based on price taking behavior. ... In a monopoly structure, there is no supply curve so it can't be vertical. ...
    (sci.econ)
  • Re: 1911 Reference Book Defines Georgism
    ... George and geoists say. ... Roy you don't even understand the implications of what you have said. ... land is a monopoly there can be no supply curve because the supply curve ... In a monopoly structure, there is no ...
    (sci.econ)
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