Henry George theorem

The Henry George theorem (HGT) states that under certain conditions, aggregate spending by government on public goods will increase aggregate rent based on land value (land rent) more than that amount, with the benefit of the last marginal investment equaling its cost. The theory is named for 19th century U.S. political economist and activist Henry George. The HGT is a complementary function to ATCOR (All Taxes Come Out of Rent) and EBCOR (Excess Burden Comes Out of Rent).

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