Comment by dzonga
12 hours ago
over the long run land-leases have proven effective e.g with Shenzhen.
the people that need the land - lease it first - develop it. if you don't develop it - you don't realize any gain from it. thereby removing speculation.
I don't think you can look at any lease system and claim success until leases have expired and been reissued many times and the system achieved steady state.
That isn't the case in Shenzhen.
The idea of investing my hard earned money to build on land I don't own sounds incredibly foolish. You're completely at the mercy of the counter-party. You don't own it, they own you!
It's a fixed long term lease from the state that often comes with a right to renew, not rent you pay to a landlord every month. They can't just decide to take it back and kick you out (unless the government is corrupt, but then it doesn't matter if you fully own it because they will do it anyway).
Eminent domain exists all over the world, you can be kicked off your land even if you own it if the Vogons in government decide they need it for the hyperspace bypass.