Michael Hudson Part 4 Economic Rent

Dr Michael Hudson talks about the importance of economic rent.

• Category

  News & Politics

[ourearthhome]

Wouldn't you like to have no tax on your income from wages or on the house you build to live in or on any other improvement you build on your land? Wouldn't you like it if cities would rebuild themselves from the inside out without the need for government redevelopment programs or any other kind of public subsidy? Wouldn't you like it if urban sprawl would end and cities grow outward only if they absolutely needed to? Taxation of economic rent could have accomplished this already and still could

[WilhelmDrake]

How would taxing economic rent get rid of the profit motive? If anything it encourages people to actually work and produce things by taxing away the free lunch. People will no longer be able to get rich "in their sleep". 

[WilhelmDrake]

That would not be a good idea.

It would actually make things worse.

[johnburnsmorgan]

Michael Hudson's and Fred Harrison's videos compliment each other.

[johnburnsmorgan]

The greed in appropriating economic rent is not in the productive organizations so much, more in large landowners - "economic freeloading". They get rich in their sleep on wealth "we" created.

As Michael stated, labours cost will be very cheap as the worker is not taxed. The more he works the more he keeps.

[johnburnsmorgan]

Land values lifts are due to collective private and public wealth creation that soaks into the land and chrysalises as land values.. Gains should be taxed? I think you mean reclaiming "economic rent" - which means where no enterprise or costs of production are incurred. When economic rent is appropriated by private individuals or organizations it can be termed as "economic freeloading".

[johnburnsmorgan]

"How would taxing economic rent get rid of the profit motive?" As you noted it doesn't. I also encourages people to work harder and smarter by not taking away their earnings.

[johnburnsmorgan]

"Taxation of economic rent could have accomplished this already and still could"

Correction: "Reclaiming economic rent could have accomplished this already and still could"

[magrathean0]

We are being screwed because ywe allow the privateering of community created value in the land market and this sets up powerfull counter-productive incentives in the real-estate market which then feed through to the entire banking system. If you want to stop being screwed, stop people using a loophole in our land tenure system to reap where they did not sow

[NearAbbeyRoad]

Or just apply the Single Tax, Land Value Tax. It automatically adjusts itself. If land values rise so does the tax, and the opposite is true.

[0MoTheG]

Why have "property"(land)? make it government owned and auction the right to rent to the highest bidder. f.e. if someone wants to build a home he would buy the right to rent the land for 100 years, after that he would have to clear the land or set a new time(his right as the for-renter) and win the auction.