ECONOMIC RENT AS A FRACTION OF GDP

Gavin 3Here’s an important contribution from Dr Gavin Putland which gainsays the curious claim put about in most academic circles that land rent constitutes only 1-2% of the economy.

Putland makes the point that because all taxes come out of rent there is obviously as much economic rent as there is tax.

So, why exactly do we use the deadweight-laden back-route for our revenues? Homage to the 0.1%?