cannot be attributed to the action of any particular individuals, it is frequently spoken of as the "unearned increment," i.e., unearned by the landlord, though a more correct term would be "collectively-earned increment."
The presence of a considerable population thus giving a greatly additional value to the soil, it is obvious that a migration of population on any considerable scale to any particular area will be certainly attended with a corresponding rise in the value of the land so settled upon, and it is also obvious that such increment of value may, with some foresight and pre-arrangement, become the property of the migrating people.
Such foresight and pre-arrangement, never before exercised in an effective manner, are displayed conspicuously in the case of Garden City, where the land, as we have seen, is vested in trustees, who hold it in trust (after payment of the debentures) for the whole community, so that the entire increment of value gradually created becomes the property of the municipality, with the effect that though rents may rise, and even rise considerably, such rise in rent will not become the property of private individuals, but will be applied in relief of rates. It is this arrangement which will be seen to give Garden City much of its magnetic power.
The site of Garden City we have taken to be worth at the time of its purchase £40 an acre, or £240,000. The purchase money may be assumed to represent 30 years' purchase, and on this basis the annual rent paid by the former tenants was £8,000. If, therefore, there was a population of 1,000 persons upon the estate at the time of the purchase, then each man, woman, and child was contributing towards this rent-roll an average sum of £8 per
