about AnswersAnswers; Chris Tolworthy; how to make a perfect world
What is ground rent

If you own bare land, and do nothing, you can still rent the land to others. That payment is called ground rent: rent for bare ground.

That value is created by society, not the landowner. Because society creates (1) demand that exceeds supply, and (2) property laws. Without either, land is worthless. (Does that mean society also owns your work? No, as you create your own scarcity: your time and energy. And you enforce your own personal laws. But without society's tools and specialists the value you can add is much smaller.)

Society can add even more value by adding infrastructure and good laws, making the land more productive.

If you (or the previous owner) add value in any way (by building, farming, doing work, etc.), that added value is yours.

If people or governments keep the value they create, then they have the resources to create even more. So value increases exponentially.

In contrast, taxation does not align resources
with who created them, so tax creates less value.

Answers
Answers
calculate
pages
essays