According to the economic principle of plottage, combining two adjacent lots into a large one will produce a higher total land value than the sum of the value of the two sites if owned separately. True / False.
Social Studies · High School · Mon Jan 18 2021
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This Statements Is True.
The economic principle you're referring to is often called the principle of plottage. Plottage refers to the increase in total land value that can result from consolidating or combining adjacent lots into a larger parcel. This is based on the idea that the combined value of the lots, when used together, can be greater than the sum of their individual values if used separately. It's a concept often considered in real estate and urban planning, where combining lots can lead to increased utility and value, for example, by enabling larger and more economically viable developments.