Friday, February 05, 2010

A Real Job Stimulus Proposal

It is easy to stimulate job growth except for greedy government. The way you do so is start to eliminate the taxes that you are not collecting now anyway. How so?

Immediately freeze all tax on new construction and Real Estate improvement. In other words, no matter what construction project that you initiate your property tax will not go up one penny. Very little of this economic activity is occurring anyway so the government is not losing anything they already don't have. However, by eliminating property improvement tax it will not cost property owners any new tax fees for fixing up and expanding housing and business facilities. That means millions of construction workers will get back to work and off the state dole. They will bring in much needed income tax revenue and a living for their family.

To really fix the economy we should also drop the rate of taxation on all property improvements while at the same time increase the tax on the value of the land location. After perhaps a ten year phase in period there would no longer be any taxation on houses and business buildings and other improvements to the land. All the property tax would fall on the value of the land location. This would force urban land hoarders like slum lords and Real Estate speculators to bring urban land into productive use or sell it to someone who would do so. This final proposal will cause an explosion of construction and home improvement meaning millions of high paying jobs as well. Those jobs are currently taxed out of existence so what do we have to lose? Nothing from nothing is nothing...

To be honest, the final economic solution is to eliminate all destructive taxation like income tax and sales tax then only funding society with the beneficial land location tax. There...take this proposal to Congress and tell them to quit being so greedy and stupid before we all go broke.

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