Lesson3_Government

Positive externalities or public goods private

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Unformatted text preview: oreclosures? Positive Externalities (Or Public Goods) Private Benefits do not equal Social Benefits Example of Public Goods: • • • Home Maintenance (Mowing Lawn, Painting House) Immunization Against Disease Homeownership? Affordable Housing? FOUR BASIC POWERS OF GOV’T 10 Police Power Maintain Health, Safety, and Welfare Basis of Majority of Zoning Laws Taxation Eminent Domain Acquire Private Property for Public’s Use Escheat (Don’t Worry About) Confiscate Land w/o Ownership (Residual Owner) Dr. Eriksen 2 Real Estate Fundamentals Texas Tech University Lesson 3: Governmental Controls BUILDING SAFETY CODES 11 Oldest Form of Public Land Use Controls Triangle Building Fire in New York City Derived from Police Powers of Constitution Primarily Issues of Safety (Adverse Selection) Fire: Materials, alarms, electrical and gas systems Sanitation: Plumbing, water, and HVAC Injury: Design and strength Gov’t Grants a Certificate of Occupancy Example of Microsoft in Redmond, WA TRADITIONAL ZONING LAWS 12 Designates “Zones” of Development Residential, commercial, industrial Uses Legality of Zoning...
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This document was uploaded on 03/13/2014 for the course FIN 3332 at Texas Tech.

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