with less. The traditions associated with the
ownership of agricultural land, and with the relations
between landlord and tenant serve to soften the edge
of economic law, and to subject the rents which are
actually fixed to the control in no small measure
of the general sense of what is fair or customary.
In such cases the landlord makes the farmer a present,
for the time being, of part of the economic rent.
On the other hand, as Irish agrarian history well
illustrates, the landlord may sometimes expropriate
under the name of rent, permanent improvements which
are due to the labors or the expenditure of the tenant.
This is, of course, particularly likely to happen,
whenever it is the custom to leave to the tenant the
obligation of providing the capital equipment of the
farm, which in Great Britain is, for the most part,
the recognized duty of the owner. Again, in the
case of urban land in the South of England, expropriations
of this kind are an essential and well-understood
feature of the leasehold system. The owner grants
a lease for a long period of time, usually ninety-nine
years, for a ground rent, which is notoriously below
the true economic rent of the land, subject to the
condition that the leaseholder must erect upon the
land and keep in good repair certain buildings, which
on expiry of the lease will become the property of
the ground owner. Here the nominal ground rent
is only part of the total rent which is really paid;
the ultimate transference of the buildings representing
often the more important part. There is, in fact,
a great variety of systems of land tenure, some of
which are highly complex, the respective merits of
which vary greatly, and which constitute a most important
problem for statesmen and legislators. Considerations
of this kind in no way diminish the importance of the
general analysis of rent, which we are pursuing in
the present chapter. Rather they make it the
more important, because we cannot properly weigh the
merits of any system of land tenure, until we have
grasped clearly the principles governing the rent
of land in the purest form. But certainly we
must never forget that the rent we are discussing may
differ very greatly from, though it will vitally influence,
the money payments which are called rent in actual
life. It is the pure economic rent, the rent
which represents the full annual payment which
it would be worth paying to obtain the use of the
land alone, which will measure, as we have said, the
differential advantage of the land in question over
land on the margin of cultivation.
A clear grasp of this relation helps us to perceive that an increase in the prosperity of the community may sometimes influence rents in an unexpected way. It all depends on the causes which have given rise to the increased prosperity. An advance, for instance, in agricultural science will facilitate a more abundant supply of foodstuffs; but it will not necessarily increase the aggregate rents of agricultural


