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Date: | Wed Jun 21 20:47:58 2006 |
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Mason wrote that "in recent usage, 'unearned increment' generally refers
unambiguously to the rise of the selling price of land, whereas Mill
wavers between that and a rise of rents. Pat fails to respond to my
request that he tell us what he means by his terms." Mason also wrote
that "Mill...used "rent"..to mean the net income imputable to land."
This follows a statement last week by Roy Davidson:
"Pat Gunning and Warren Samuels have referred to "taxing the unearned
increment" which from a Georgist perspective makes no sense to me. I
don't recall George ever using the term "unearned increment" while he
did advocate collecting all or almost all of the ground rent for public
purposes at the same time eliminating all taxation of labor, capital and
the wealth produced by labor and capital. Wasn't it Mill who proposed
taxing the future increment in land values?"
Now in my most recent reply to Mason, I wrote:
"The philosophy behind the Georgist program is based on the assumption
that there is an unearned increment. This means that the person who
received an income did not work or even use his brainpower to receive
it. In the context of a market economy, this usually also means also
that he has not contributed anything to the satisfaction of others' wants."
I hope that everyone realizes that anyone who claims that rent can be
"imputed to land" is also claiming that the rent is an unearned increment.
Is this really "talking past each other," as Warren seemed to suggest?
Pat Gunning
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