Question: Using comparative static analysis, explain what is meant by planning gain in terms that would be understood by the general public or by non-planning experts. How can we tax development value, and what are the likely effects of taxation on the land market?
Please cover the following points in the answer.
Policy intervention Regulating Markets
Economic rent and transfer earnings (with diagram)
Planning , land markets and the case for taxation
Planning gain, Redistribution of Taxes, Land Value Capture, Betterment taxation
Impact of the taxations