Video: Land Value Taxation and Public Infrastructure
Municipal governments should finance infrastructure by collecting the unearned income (economic rent) that accrues to land. No new taxes needed.
Warranted new projects (parks, schools, transit, roads, hospitals) always raise local land values more than the cost of the project. Presently this wealth disappears into the pockets of local land owners. Instead, Land Value Taxation should be used to finance the infrastructure.
LVT is equally effective in small towns and big cities. Those who live closest and benefit most should finance the projects out of their unearned income. Inter-city projects -- like high-speed rail -- should also be financed by economic rent capture.
The rental value of land is revenue that belongs equally to all by birthright, and should be captured by LVT to provide services like health care and education. The revenue generated by LVT should also be used to reduce and eliminate income and sales taxes.
All taxes should be on the use and the abuse of nature (land, resources, pollution), not on jobs, business or sales.