[Abstract in]
Johns Hopkins University, University Circulars, February 1882, p. 176.
(Reprinted in Thorstein Veblen, Essays Reviews And Reports. Previously
uncollected writings. Edited and with an Introduction "New Light on
Veblen" by Joseph Dorfman. Kelley: Clifton, 1973, p. 267).
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"With the advance of society the rent of land increases. This increase
is dependent of any effort on the part of the landlord, being the product
of the activity of the community. The State should therefore by a peculiar
tax, appropriate this "unearned increment" and not permit it to go to the
owner of the land. To obviate all injustice to owners who have bought land
with the expectation of being permitted to enjoy the future increase of
its rent, the State is to offer to buy the land to the owners at its
market price as an alternative to their keeping it and paying to the State
the increase of rent. As a consequence of such an alternative, land having
a speculative value would be sold to the State in order to avoid loss to
the owners. The measure would act as a fine on the holding of land, to the
amount of the speculative value, and lead to an almost universal
nationalization of land; differing, however, from generally entertained
schemes for the State's getting possession of land, in that the expense of
the change would be more equitable distributed on all classes of the
community. No immediate redistribution of wealth would take place, but,
neglecting all probable undesirable secondary effects of the change on
the people, an advantage would accrue from an increased compactness of
population, making possible a saving of labor."
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