is not the Banking System, (in N.Z).
It is the unearned gains from land¹ values privately monetised
through the Banking System, with prime/sub-prime mortgages. This had become a
sacrosanct industry promoted by Government
with tax breaks.
- is to socialise the same unearned, community-created gains, with comparable tax
concessions; for a Rent, licence or fee, instead of taxes. A charge
for what we hold or take, not on what we do or make,
to distinguish public from private property.
- is a national Land Value Rate levied by, and shared with Regional Government. Initially, there
should be interim gradations of Income Tax and Land Value Rate as an accommodation to home owners, but
In the U.S, and elsewhere, recent plans to rescue the Banking System and the car industry will entrench
the malady and will convert the icon of "Freedom" (to own the earth!) into
the biggest Socialist state we've yet seen. A de facto Nationalised banking function will assume its
proper role. “Capitalism’s” mistake of conflating land with capital; natural
resources with commodities², and thus Rent with Interest, will find
its just desserts.
In N.Z. the Reserve Bank is State-owned. Under Sir Roger Douglas, as Minister of Finance, the Government
abdicated its responsibility in favour of the Reserve.Bank for Monetary and related Policies. As Prime
Minister Lange protested, “on that basis who needs a Government?”
The resolution will be for the new state tenants to pay a market Land Rent
(ex auction) in lieu of Income Tax, GST and other taxes. They can't pay both! (see
- Rates Relief
- Economics In One Lesson
- Where To From Here For The Sharemarket?" (pdf)
- "The Neo-Classical Stratagem
against Henry George" from "The Corruption of Economics" by Dr. Mason Gaffney (pdf).
- Tax Set-off/Negative Gearing
- A Challenge To The Church (Mosaic Law and Messianic affirmation)
1. "Land" includes natural monopolies, rights to land, water, airwaves, minerals,
fisheries, hydro-power generation and supply, any public utility such as a port, airport or the monopolistic
rights to reticulate wires, pipes, rails, roads, and the like; even the right to pollute
Refer to "Economics In One Lesson".
2. The "Corruption of Economics" by Dr Mason Gaffney (Prof Of
Economics California University) and Fred Harrison, examines the intentioned confusion of "land"
as capital over the last 100 years or so. Consequently some "interest" is really rent. Under a
system of Resource Rentals, in Accountancy also, "land" would not be a capital asset.