Nobel Prize-winning economist Milton Friedman said that,"In my opinion,the least bad tax is the property tax on the unimproved value of land." Why?

Question

Quizplus · Accepted Answer

A tax on unimproved land would have no deadweight loss because it does not discourage any behavior or economic activity. Additionally, it is difficult for landowners to hide or evade the tax, making it a relatively efficient method of revenue collection. However, it is not necessarily true that landowners can afford the tax better than others, and it may not be sufficient to fund all government expenditures.

Nobel Prize-Winning Economist Milton Friedman Said That,"In My Opinion,the Least