That’s a well-established economic theory and I’m not contradicting it. What I’m saying is that renting out the house after it’s built continues to create wealth. A world in which I build a nice house but keep it empty is wealthier than a world in which I leave the land unimproved, but a world where I rent that house out (or live in it myself) is wealthier still. The experience of living in that house, as opposed to some inferior option, has value.
Building a house creates wealth. Owning the land underneath it does not, it merely captures a portion of the wealth produced by others.
That’s a well-established economic theory and I’m not contradicting it. What I’m saying is that renting out the house after it’s built continues to create wealth. A world in which I build a nice house but keep it empty is wealthier than a world in which I leave the land unimproved, but a world where I rent that house out (or live in it myself) is wealthier still. The experience of living in that house, as opposed to some inferior option, has value.