It is no secret to many of our readers that an economy which ignores the vital contribution that a land value tax has to offer is subject to the peaks and troughs in the property market. Fred Harrison, the author of Boom Bust and other books predicted the crash of 2008 in 2005. He has recently being speaking to Joshua Philipp, a journalist for the International publication the Epoch Times. You can read the full article here. Some highlights from the piece are outlined below.
Josh’s article pulls together Fred’s predictions for the forthcoming economic downturns and Amar Manzoor’s suggestions about how business leaders should respond. Amar Manzoor is the author of The Art of Industrial Warfare.
‘Amar Manzoor has approached the looming financial crisis from the standpoint that governments aren’t likely to change the way taxes work. Instead of talking to governments about fixing it, he created the 7Tao system to allow businesses to weather it.
Manzoor has been running the 7Tao industrial warfare training method for U.K. businesses, in cooperation with the British government, but recently brought the system to the United States in cooperation with a company called Spectre.’
Fred Harrison has long focussed on identifying and predicting the likely peaks and troughs in the cycle of real estate with a view to persuading governments to respond with a change in their taxation methods. Several of his books expand on the theories made famous by Henry George and encouraged by many economists who follow in his footsteps.
‘The tax on land could theoretically break the 18-year cycle by disrupting the cycle of the real estate market, pricing people out. Since the tax is based on the value of the land only, exluding the value of improvements, it discourages the inflation of land prices.
“We’ve been so brainwashed into just not recognizing the significance of land and rent, that the economic cycle acts as it does, creating havoc, and it repeats itself when it could be so easily corrected,” Harrison said.’
Shepheard-Walwyn supports the Georgist concepts outlined within Fred’s books and others within the Ethical Economics programme. Manzoor’s pragmatic approach is to recognise that change is not easily made and that business leaders need to learn how to work with what they have. How do our readers think we can face the next downturn? We would be interested to hear your comments.
Further Reading: Public Revenue Without Taxation by Ronald Burgess Re-Solving the Economic Puzzle by Walter Rybeck According to a survey by the software provider Inuit, two-thirds of small businesses are hesitant to hire new employees due to the burden of PAYE. In the...read more
Further Reading: Boom Bust by Fred Harrison Ricardo's Law by Fred Harrison In a recent article in the Guardian Phillip Inman argued: ‘Amid all the talk of rebalancing the economy, there is little mention of the most powerful lever the government could pull to generate...read more
Further Reading: Eradicating Ecocide by Polly Higgins Stewardship Economy by Julian Pratt The Land Question by Henry George Two recent articles have drawn attention to pioneering efforts by the government of Bolivia to change the way we relate to the earth on which...read more
Further Reading: Public Revenue Without Taxation by Ronald Burgess Dr Burgess, a member of the Royal Economic Society with a special interest in taxation, was Director of the Economic Study Association till his death. In his Budget, the Chancellor of the Exchequer...read more
“You can become wealthy by creating wealth or by appropriating the wealth created by other people. When the appropriation of the wealth is illegal it is called theft or fraud. When it is legal economists call it rent-seeking”
John Kay, Financial Times 27th Dec 2009
“If a free society cannot help the many who are poor, they cannot save the few who are rich.”
John F Kennedy, Inaugural Speech, Jan 1961
“If science is defined by its ability to forecast the future, the failure of much of the economics profession to see the crisis coming should be a cause for great concern”
“Today we live in a world that is divided. A world in which we have made great progress and advances in science and technology. But it is also a world where millions of children die because they have no access to medicines… It is a world of great promise and hope. It is also a world of despair, disease and hunger”
Rent Unmasked explores the new economic paradigm that policy-makers need to solve global problems in the post-2008 era. With conventional economic theories discredited, the new model must equip governments with tools to re-stabilise societies in a dangerous world. Rent Unmasked explains why one paradigm only qualifies to serve this purpose: the dynamic model that reinstates time and space in economic theorising.
ISBN 9780856835117 | Price: £19.95