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Harberger Tax : r/georgism

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What do you all think of the Harberger tax as a way to efficiently allocate land? Owners of a piece of land determine the value of their land and pay taxes accordingly. But, they have to sell the land at whatever price they originally set if a buyer wants to pay that price. I like this idea because the land is likely to be allocated to whoever is willing to pay the most for it, and in principle to its most productive use. Under a full LVT the sale price of land would be zero. A Harberger tax cannot work, for land. You could have a "harberger style" tax where you choose how much monthly LVT you pay, and if someone is willing to pay more, they get the property. That's equivalent to a first-price auction. An even better version is a second-price (Vickrey) auction, in which the highest bidder wins but pays the price of the second-highest bid. That incentivizes honest bidding and makes intuitive sense in terms of the payment being for excluding others. The complications come into play for v

I answered this question previously like so... If I say my house is worth $1 then what? The state can buy me out for $2? I have no choice but to sell? In that case how can I as a homeowner determine the value of my home? How I feel? What if my house has been passed down from generation to generation? Do I just ballpark it above what the market price is so I'd check online and see a similar house in my neighborhood is $50K so I go for $60K to play it safe, but then what if my neighbor Jim says "I really like your house Anthony"? Do I kill him or do I now boost my price according to what I…

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