There are many studies that show that a land tax invigorates the community. See our websites.
Land is a forgotten factor in the sense that society does not adequately discuss land issues . We continually see headings such as “Hut without a roof sold for $2million” The GFC is explained without acknowledging the dominance of the land factor. Economic and social issues are discussed as though there is nothing that can be done about the price of land or the lack of infrastructure in our growth areas. These issues need a real airing. Will the Henry Review into Taxation seriously consider a land tax? And if it does will the Federal Government carry out the recommendations? More than likely the usual preferred option which is to placate the land lobby with a minimal consideration of land tax will take place. When do you last see representatives from Prosper Australia and the Land Values Research Group being given an opportunity to give the land angle in our media, and yet workable land management is essential to our economic health.

Otherwise, speculators and monoploists will sit on vacant land until a land-hungry community has to meet their blackmail prices. Capture more rent and you’ll create a genuine land market, because land prices will tend to decline as such people are driven out of the market. Nor could we then experience worldwide these bubbles in land prices that burst and bring on recession and depression.

But I don’t expect to convince, “Super Omnis” because logic is clearly not his/her strong suit: “Churchill was an alcoholic!” means that he was totally incompetent? Churchill, of course, proves that some alcoholics remain contributors to society.

Churchill probably became an alcoholic because he knew how the people were being played as pawns via the privatisation of publicly created ground rent. The free market delivers free lunch to owners of prime locations due to scarcity rents. Did that person do anything to earn the massive upkick in land values? As you say in Oz, yes govt interference in the market (FHOG) is a problem. Govt refusal to harness the economic rent as per the wishes of Adam Smith, Ricardo, JS MIll and yes, Henry George, allowed the land based bubble to outstrip wages by what %? Thats the bigger picture.

How is affordability going in Sydney?

By capturing this land bounty we can remove the deadweight taxes & compliance costs that inefficient revenue raising mechanisms such as GST, payroll, stamp duty and even income tax impose on productive entrepreneurs. Our tax system is full of magnetic loopholes for speculators rather than entrepreneurs. Is the pain the underemployed are feeling worth it?

Perhaps you could watch MIchael Hudson on economic rent.
Also read Gavin Putland’s work over at LVRG, including his latest on Recessions Begin at Home to understand these points in more detail.

Do you not identify that government manipulation of the free-market is responsible for false valuation? and your solution is based on another form of government manipulation???

The free-market corrects speculative rises – it’s called recession. During a recession, if the government avoids further manipulation through flawed Keynesian theory, it would not be compounded if ‘stimulus’ is avoided – as ‘stimulus’ is simply paid for by tax-payer debt which has to be serviced through higher taxes whilst trying to kick-start the economy at the same time – it doesn’t help anyone. Lower taxes allow economies to flourish, not ‘stimulus’.

Freedom over collectivism.
Capitalism over Socialism.