Spencer Heath Archive

Item 554.

About 1961?

Land value (actual) rises only as demand (economic) rises for it.

All present or actual value of land springs from that portion of the wealth produced that is freely offered for it.

The value of land is not inherent in it. Like the value of any other thing, it rests on and is equal to and is fixed by that portion of the wealth produced which is freely offered for the land. Taxation both destroys and inhibits production of wealth and thereby the demand and the value of land. Taxation of land reduces the (relative) demand for it. Tax discrimination in favor of improvements (production) increases the demand (bid) for and thus the value of land. Tax discrimination (exemption) in favor of land puts more burdens on improvements (production) and thus diminishes the demand (bid) for and therewith the value of land.