ANTI-GENTRIFICATION : CHARITY IN LAND
The earth itself is one of the most exploited resources on this planet, frequently used as a common currency and a means to accumulate capital. Consequently, gentrification is a part of the real estate speculation game, which, as a byproduct of aggressive capitalism, that is closely tied to land ownership.
Can we prevent gentrification by designing smart strategies related to taxing and acquiring land?
In simple terms, gentrification is an aggressive byproduct of capitalism that focuses solely on economic expansion and profit generation. (We highly recommend reading David Harvey's lectures on the phenomenon Urban Fix or checking out the following link: David Harvey: The Right to the City and Urban Resistance @ Fortaleza (english) - YouTube)
The main conflict with capitalism in our real world is the impossibility of infinite growth in a finite world. Simply put, there are two basic limited resources:
- time (human life)
- space (land)
Therefore, for continuous growth to be satisfied, capital must expand. We have found a way to manipulate time in favor of capitalism by inventing credits, but the land cannot be easily manipulated.
This condition within the capitalist concept is often exploited by wealthy individuals and real estate speculators.
One creative solution for a fair distribution of resources is taxing the land rather than taxing property or income.
(We highly recommend reading about "Georgism" or checking out the video on the following link: What is Georgism? | Land Value Tax, Resource Wealth, and more ft. Lars Doucet )
However, since today we are deeply entrenched in a state of "land hoarding," powerful institutions and individuals are intensely lobbying to avoid land taxation.
As a society, we find ourselves stuck in a corner.
So, what could be the way out of this?
We are speculating on two ideas:
1. Transitional land heritage disownment:
This tool can pave the way toward a future where we can implement a land-taxed system.
2. Implementing tax breaks on land-related charities:
Tax breaks on charities are often a powerful tool for eliminating losses that are likely reinvested into production and cycling profits. Charity in land means fewer opportunities for wealth expansion and more land for communities.
It's a bit more complex than this, but we will elaborate on it another time. For now, it's important to put the idea out there.