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Suppose you were appointed economic advisor to a less-developed nation in Africa. The nation seeks to encourage capital formation and wants to increase the rate of saving of its own residents and encourages foreigners to invest in their nation.

What role would you assign to property taxes in this nation to achieve its objectives?

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Suppose you were appointed economic advisor to a less-developed nation in Africa. The nation seeks to encourage capital formation and wants to increase the rate of saving of its own residents and encourages foreigners to invest in their nation.

What role would you assign to property taxes in this nation to achieve its objectives?

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This is actually becoming more and more common in less-developed countries. Encourage the residents in the other countries to invest in the land of the less-developed country, and in the process, tax the land that is purchased, which increases the economic state of the foreign country. Basically, the way that it works is that the person in the United States, or another developed country ...

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