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Comment by andys627 | Hacker News Reader

I like this billboard from the good old days https://upload.wikimedia.org/wikipedia/commons/thumb/a/aa/Ev....

It says: "Everybody works but the vacant lot. I paid $3,600 for this lot and will hold till I get $6000. The profit is unearned increment made possible by the presence of this community and enterprise of its people. I take the profit without earning it."

These lots produce negative externalities to society and should be taxed accordingly.

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If it was 100% guaranteed that the lot will be worth $6000 in a couple of years, it wouldn't be sold at $3600, but something much closer to $6000. The gentleman buying the lot is obviously taking on risk - the lot may very well never be worth $6000, or may even never again be worth $3600.

This is not necessarily true though. If you could use that 3600 to become 7000 in the same time it would definitely make sense to sell for 3600, and reinvest that money into a even more profitable investment.

I don't disagree that they should be compensated. It is not the only moving part, however, and those should be priced in as well.

This quote is from Henry George, who advocated for Georgism. https://en.m.wikipedia.org/wiki/Georgism

It appears that the quote is about George, not by George.

"George advocated for Georgism" is a tautology :-)

Most people don't advocate for "themselves-ism" -> not a tautology

But Georgism is the things George advocated, therefore:

  George advocated for the things George advocated

Like the city of Chicago's parking tax that was cited in the article? https://www.chicago.gov/city/en/depts/fin/supp_info/revenue/...

More likely a land value tax, based on the quote.

Denver is littered with surface parking lots. This is due to the relatively recent spike in value.

There is no way you could buy the property now and operate a parking lot, but they got in when it was cheap, so it's all profit now.

If the land could make more profit with another use, that profit is a net loss (opportunity cost).

Sure, but they believe the market isn't at the top. Opportunity cost could continue to increase until they cash out.

That is, maybe they could sell for $10 million now vs making $200k per year on parking, but if they hold on for another 5 years, the offers could rise to $15 million.

YIMBY in SF Bay area should seriously consider buying billboard space for this on the 101.

> I take the profit without earning it.

Honest man.

This is why interest/usury are predatory and parasitic practices, and are banned in several religions.

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