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Land is a free gift of nature. It includes a parcel of land as well as all that can be extracted from it (minerals, wood, agricultural products). Since only what is on earth is now available for man, land is, therefore, clearly restricted. The compensation for use of land is rent.
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It is sometime difficult to distinguish land from additions or improvements to land; these are not land, but capital. These additions and improvements can be further increased because they are the work of man. On a parcel of land, more and better houses can be built. But, land itself cannot be changed: it is just that parcel. |
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