Lesson 5:

The Dog in the Manger

Please read chapters 22 - 23, The Dog... and start on The Boom/Bust Cycle .

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1. As population grows and material progress advances, why is some land held out of use?

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2. In a growing economy, why does rent always take an increasing portion of the wealth produced?

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3. In an open market, what is the effect of

a) Speculation in commodities?

b) Speculation in land?

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4. How does withholding land from use affect the margin of production?

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5. Need land be held from use completely to lower the margin?

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6. What is the effect of land speculation on the production of wealth?

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7. What are some environmental effects of land speculation?

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8. What are some social effects of land speculation?

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9. What is the effect of land speculation on:

a) Rent?

b) Wages & Interest?

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10. Why is land speculation not always profitable?

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