News for hackers. Stuff that matters.

A comment on Land-value tax: Why Henry George had a point. Parent comment

Re:Land-value tax: Why Henry George had a point by humanrebar on Saturday October 24, 2015 @10:38PM (#10445735)
You're taxing profits, not sales. If the value of land more closely tracked inflation, people will look to other markets for growth.

To put it another way, why don't people sit on their cash? They're taxed on most cash transactions, right?

[ Parent | on HN ]
Re:Land-value tax: Why Henry George had a point by lmm on Sunday October 25, 2015 @05:00AM (#10446397)
> If the value of land more closely tracked inflation, people will look to other markets for growth.

Sure, but as long as it can be used to extract rent at no cost, the value of land is going to keep going up.

> why don't people sit on their cash? They're taxed on most cash transactions, right?

Inflation is a de facto tax on holding cash. Without it people probably would sit on their cash.

[ Parent | on HN ]