It is not very unreasonable that the rich should contribute to the public expense, not only in proportion to their revenue, but something more than in that proportion.
"Wealth of Nations," Book V, Chapter II, Part II, Article I, pg.911
Last edited by Whip Comes Down; 12-13-09 at 05:06 PM.
Besides the Louisiana purchase, the Alaskan one comes to mind. Furthermore, government infrastructure can turn land that was normally of minimal value into high value property. We often see this when government contracts to put in a highway or mass transit. Land that was normally of little value suddenly goes for top dollar. McDonald's used to track government planning operations to see where new roads and highways would be built and bought land near off ramps and intersections because they knew the value of those locations would later explode.
Across the pond, without the 100,000 year dikes in the Netherlands, there wouldn't be development, land values would plummet and wealth would cease to exist. Instead, we see at times rising land prices that are partially based on the dikes' ability to hold back the sea.
I can go on and on, but rational people should get the point.
"If your opponent is of choleric temperament, seek to irritate him." - Sun Tzu
A local government uses taxpayer revenues to build a public park and the supporting infrastructure, and a result, the property values rise for all the surrounding homeowners. Did the government create wealth?
Last edited by Whip Comes Down; 12-13-09 at 05:09 PM.
The government creates opportunities for wealth all the time, but ultimately it's the people who create the wealth by taking advantage of those opportunities.
.... examples. Create a bridge connecting two land masses to spur economic development. Connect a brackish water canal to a saltwater outlet, and you just created ocean front property. Put an exit ramp off an interstate to get people to visit a small town....
It happens literally every day.
Well, if it's so easy for the government to create wealth, why hasn't it ever worked in the history ofthe modern world and what the hell's taking so long to get it started this time around? Why don't you geniuses educate us on those two items. Thanks in advance.
oh yeah, where is the money going to come from?
The only way for the government to stimulate th economy would be to subsidize every industry in the country. To do that, they would have to get large amounts of revenue and that revenue is going to come from fill in the blank