Argument Quote by Mervyn King
“The underlying intellectual argument for seeking to tax economic rents retains its force.”
About This Quote
Source Speech: Economic Policy Forum, 2015
Taxing economic rents is justified because it captures unearned income without discouraging productive activity.
In simple terms: Tax rents to capture unearned income.
Key Takeaway
Implement rent taxes to improve fairness.
Themes
economics
public policy
taxation
Mood
analytical
critical
Type
policy
economic
When to use this quote
- government budgeting
- wealth inequality
- investment decisions
Key Concepts
public finance
rent theory
Questions to Reflect On
- How can rent be accurately identified?
- What are the effects on investment?
A Different Perspective
Rent taxes may be hard to define and enforce.
