Speculation, land rent, and the neoliberal city: or why free market is not enough

• Felipe Encinas ^[1] ; Carlos Aguirre ^[2] ; Ricardo Truffello ; Rodrigo Hidalgo ^[1]
  1. [1] Pontificia Universidad Católica de Chile

     Pontificia Universidad Católica de Chile

     Santiago, Chile

     
  2. [2] Universidad de las Américas

     Universidad de las Américas

     México

     
• Localización: ARQ, ISSN-e 0717-6996, ISSN 0716-0852, Nº. 102, 2019, págs. 120-133
• Idioma: español
• Títulos paralelos:
  • Especulación, renta de suelo y ciudad neoliberal.: o por qué con el libre mercado no basta
• Enlaces
  • Texto completo (pdf)
• Resumen

  • If financial speculation is the possible future profit of an action performed in the present, then the risks justify the profit margin. However, this research shows that, when it comes to urban land, the future profit depends on the plot’s location and not on what is built on it. Thus, as the location is not interchangeable, the purchase of urban land involves virtually no risks. Rather than speculation, it is actually a guaranteed business.