Makes sense for a physical good whose condition deteriorates over time. People making capital gains on houses (whose values are determined mostly by local gove

Makes sense for a physical good whose condition deteriorates over time. People making capital gains on houses (whose values are determined mostly by local government and corporate investment relative to the national average) has always struck me as a sign of government being insufficiently aggressive about a) capturing the value it creates with infrastructure investment and b) wringing subsidy from high-paying corporations externalizing the problem of housing their work-forces.