Outlines of Land Economics

Purchase of this book includes free trial access to www.million-books.com where you can read more than a million books for free. This is an OCR edition with typos. Excerpt from book: CHAPTER III THE EMERGING COSTS IN LAND UTILIZATION I. The old view - rent an income without cost. A. Turgot and the Physiocrats. B, The classical economists. II. The new vievr - the necessary supply price of land. A. No economic surplus in rent. B. Does the necessary supply price include large gains and...
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Purchase of this book includes free trial access to www.million-books.com where you can read more than a million books for free. This is an OCR edition with typos. Excerpt from book: CHAPTER III THE EMERGING COSTS IN LAND UTILIZATION I. The old view - rent an income without cost. A. Turgot and the Physiocrats. B, The classical economists. II. The new vievr - the necessary supply price of land. A. No economic surplus in rent. B. Does the necessary supply price include large gains and losses? C. Was there ever a surplus in land income? III. The ripening costs. A. Definition. B. In urban land. C. In agricultural land. D. In mineral land. E- In forest land. CHAPTER III 33 THE EMERGING COSTS IN LAND UTILIZATION In order to know what the income from land is, we should and must know what we put into the land as well as what we take out of it. It is suggestive of serious mistakes, that the consideration of land rent and land income has not been closely connected with the consideration of costs. view - rent an income without cost. The classical view of the rent of land is that it is an income without cost. It is treated as a surplus, and as the chief or main kind of surplus. In the opinion of Turgot and the Physiocrats the rent of land was an income without cost to the individual and also without cost to society. Rent was regarded as something that came out of the land without anything going in. But by the classical economists of the Ricardian type, rent was regarded as a surplus only from the point of view of the individual - not from that of society. The rent of land according to the strict classical view is due to social growth and is a product of the life of society. It is a social creation and therefore would be considered as socially earned. But this socially earned rent, the classical economists say, is reaped by the individual landlord, who, to paraphrase the words of Adam. Smith, is reaping without sowing. T...