land speculation
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The market value of land is caused by increase of population and provision of government services and infrastructure that make the land served more useful. All land value therefore is created 100% by the community as a whole and not by its "owners". But because "owners" of land have the right to keep its increasing value even though they do not create land or its value, other people are willing to pay higher prices than land is really worth expecting to cash in or future increases. Free lunch.
ourearthhome 2 years ago