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IPFS News Link • China

Should We Allow U.S. Land To Be Sold to the Chinese?

• https://www.lewrockwell.com, By Walter E. Block

However, there are deep and dire problems with this attempt at demagoguery.

First of all, there is simply no mention in the U.S. Constitution, let alone prohibition of, selling land to foreigners. We have been doing so since practically the beginning of our country. A relatively recent high-profile case in point is the sale of Rockefeller Center in New York City to Japanese interests. This land parcel contains 19 buildings ranging from three stories to sky scrapers, and comprises 22 acres dab smack in the middle of Manhattan. A 51% share was purchased for $846 million in 1989 by the Mitsubishi Corporation. As it happens, this sale did not go all that well for the buyers; they sold out in 1995 for a loss (but that is entirely beside the point). If the U.S. Constitution prohibited sales of this sort, this one never would have occurred.

Second, according to one opponent of such sales, a Republican candidate for Governor of Washington state:

"The practice of selling American land to anyone other than American citizens is heinous and unconstitutional. American soil belongs to American citizens. End of discussion."

Did you notice anything missing from this harangue, apart from a failure to mention which part of the U.S. Constitution is of relevance? In most sales, nay, all sales without exception, there is a buyer and seller. So far, so good. There are these two countries. But there is also a price! What is the price the Chinese are willing to pay for our precious farm land? Typically, fertile agricultural acreage sells for about $3,800 per acre in the United States. Well, suppose the people of the Middle Kingdom offered double that amount, or $7,600 per acre. Then, the likelihood of Americans going without "access to reliable and sufficient quantities of affordable, nutritious food" would be decreased, not increased, by all such sales. American farmers could then purchase twice as much arable land in nearby Canada or Mexico; they would be enriched, and we would have more food rather than less.


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