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I know that having a domain name is a fun way to get to know a lot of computer-related concepts, making that opportunity less accessible for people does not sound like a good thing to me - I want future kids to be able to play with internet the same way, don't know if you relate or not.

Not to mention if domains were more expensive we'd have more link-rot, which is already really nasty.

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We can apply the same techniques used for progressive property taxes to prevent the two problems you identified: e.g., an owner-occupier exemption for a single domain name per person, and a deduction for investments in building the domain’s brand so that a domain with high pagerank or marketing investment pays a lower tax.

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