Aiding Ukraine

Last Wednesday, I sent an email to the Ukrainian embassy, asking how I could donate to Ukraine, and saying that I had found a couple of web links, but ran into difficulties attempting to use them. I got a reply this Monday (they must be busy) and tried the link https://bank.gov.ua/en/about/support-the-armed-forces

I tried to donate by credit card, twice, but needed a confirmation number, and, if I understand correctly, neither credit card would text a confirmation number to my cell phone. There was also an address in Kyiv to which I may try mailing a check. If anyone has a better method, or succeeds with the website above, please let me know.

I have donated to humanitarian assistance organizations, but I also want to support Ukraine’s armed forces.

Boom Headed to Bust

Slate had an article on the rise in home values; the increase in the value of the average home exceeded the median family income last year, which is described as the “triumph of capital over labor.” Georgists know that it is no such thing, since what has increased is principally the price of land, not of houses, and (a fine point) by Henry George’s definitions, houses used by their owners as dwelling places are not capital, a subcategory of wealth. Houses are considered wealth, although land is not.

Capital is not triumphing; if it were, the returns on capital would not be so low, nor stocks priced at such a high ratio to earnings. It is true that labor is being triumphed over, and that, as the article says, the landed gentry are doing well.

One important point is that this cannot go on forever, and will not. Sooner or later, the bubble in land prices will burst, and if the eighteen year cycle holds good, we may expect the next Great Recession in about 2026. You have been warned, and if you’re a long-time reader of my blog, the warning is being reiterated.

Another point is that both the conventional Left and conventional Right do not understand what is going on, and are not taking or proposing effective action to deflate the land bubble. Effective action would involve taxing the value of land, while cutting taxes on buildings, and other taxes as well.