In the late 19th century, an American economist named Henry George released a book that would become a global sensation, outsold in its time only by the Bible. That book, Progress and Poverty, introduced a radical yet simple framework for solving the paradox of advancing civilization and deepening misery. This philosophy, known today as Georgism (or Geoism), argues that while individuals should own the value they produce through their labor and capital, the "economic rent" derived from land and natural resources should belong equally to all members of society.

Spanning history, economics, and social justice, Georgism remains one of the most intellectually resilient "alternative" economic theories in the modern world.

The Core Philosophy: People, Land, and Labor
At the heart of Georgism is a distinction between two types of property. The first is wealth created by human effort—such as a house, a machine, or a software program. Georgists believe that the creator should have absolute rights to this value, meaning that taxes on income, sales, and improvements are viewed as a form of "socialized theft" that discourages productive work.

The second type of property is land and natural resources. Unlike a house, no human being created the earth. Furthermore, the value of a specific plot of land—especially in a city—is not created by the owner’s effort, but by the community around it. If a government builds a new subway station or a entrepreneur opens a popular park nearby, the value of the surrounding land skyrockets. Under current systems, the landowner captures this "unearned increment" as profit. Georgism proposes that this value, known as economic rent, should be recaptured by the public through a Land Value Tax (LVT).

The "Single Tax" and Economic Efficiency
Historically, Georgism was synonymous with the "Single Tax" movement. Henry George argued that if the government captured the full rental value of land, it could eliminate all other taxes. By removing taxes on labor (income) and capital (investment), the economy would be unshackled, while the tax on land would prevent the speculative hoarding of natural opportunities.

Economists across the political spectrum, from the libertarian Milton Friedman to the progressive Joseph Stiglitz, have expressed admiration for the Land Value Tax. Friedman famously called it the "least bad tax." Its primary appeal lies in its efficiency. Most taxes create "deadweight loss"—if you tax windows, people build fewer windows; if you tax income, people may work less. However, the supply of land is "perfectly inelastic"; you cannot "make" more land, and no matter how much you tax its value, the land does not disappear. Consequently, an LVT does not distort economic decisions. Instead, it encourages owners to put land to its "highest and best use" rather than leaving prime urban lots empty while waiting for prices to rise.

A Legacy of Influence
Georgism was not merely a theoretical curiosity; it was a potent political force in the early 20th century. George himself nearly won the race for Mayor of New York City in 1886. His ideas traveled across the Atlantic, influencing the "People's Budget" in the United Kingdom and sparking land reform movements in Denmark, Australia, and New Zealand.

The ideology also left a mark on popular culture. The board game Monopoly was originally invented by Elizabeth Magie as The Landlord's Game. Her intent was not to celebrate the accumulation of property, but to demonstrate how land monopolies inevitably lead to the bankruptcy of everyone except the owner. She hoped that children playing the game would see the inherent unfairness of the system and embrace Georgist principles.

In the United States, several "single tax colonies" were founded to test these ideas. The most famous, Fairhope, Alabama, and Arden, Delaware, still exist today, though they have adapted their structures to coexist within broader state and federal tax systems.

Georgism and the Environment
In recent decades, Georgism has found a new audience among environmentalists and "Green" economists. This branch, sometimes called "Green Geoism," extends George’s logic to pollution and the global commons. Just as land belongs to everyone, so does the atmosphere and the water.

When a corporation pollutes a river or emits carbon into the air, they are effectively using up a common resource for private gain. Georgists advocate for "Pigovian taxes" or carbon taxes that function similarly to a land tax: they charge the user for the privilege of diminishing or monopolizing the commons, with the revenue often returned to the public as a "Citizen’s Dividend" (a form of Universal Basic Income).

Modern Relevance: The Housing Crisis
Today, the most urgent application of Georgism is in the debate over the global housing crisis. In major cities like New York, London, and San Francisco, the "housing" cost is often actually a "land" cost. When a modest home sells for millions, the building materials are a fraction of the price; the true cost is the location.

Critics of current property tax systems argue that they penalize homeowners for making improvements. If you add an extra bedroom or a garden, your taxes go up. Meanwhile, a speculator who owns a derelict, rat-infested building in a prime neighborhood pays very little while the land beneath the building gains value every year. A Georgist shift to LVT would flip this incentive: the speculator would be forced to develop the land or sell it to someone who will, while the homeowner would no longer be punished for improving their dwelling.

Conclusion
Georgism occupies a unique space in political economy, sitting between the traditional left and right. It advocates for a radical socialization of land and resources, yet it is fiercely pro-market and anti-interventionist regarding labor and capital. It seeks a "middle way"—a system where the individual is truly free to keep what they earn, but the community is truly compensated for the use of the shared earth.

As the 21st century grapples with soaring inequality, urban sprawl, and environmental degradation, the "cat" that Henry George invited the world to see over a century ago remains a compelling vision for a fairer, more efficient society. Whether implemented as a full "Single Tax" or as a targeted land value levy, the principles of Georgism continue to offer a profound critique of how we value the world we live in.