Editing Property law (section)

=== Justifications and drawbacks of property rights ===
In capitalist societies with market economies, much of property is owned privately by persons or associations and not the government. Five general justifications have been given on [[private property]] rights:<ref name=":0" />

# Private property is an efficient way to manage resources in a decentralized basis, allowing expertise and specialization to develop with regard to the property.
# Private property is a powerful incentive for owners to put it to productive use, because they stand to gain in the investment.
# Private property allows exchanges and modifications.
# Private property is an important source of individual autonomy, giving individuals independence and identity distinct from others.
# Private property, being dispersed, allows individuals to exercise freedom, against others or against the government.

Arguments in favor of limiting private property rights have also been raised:<ref>{{Cite book|title=Property, mainstream and critical positions|date=1978|publisher=University of Toronto Press|others=Macpherson, C. B. (Crawford Brough), 1911-1987.|isbn=0-8020-2305-3|location=Toronto|oclc=3706603}}</ref><ref name=":0" />

# Private property can be used in a way that is harmful to others, such as a factory owner causing loud noises in nearby neighborhoods. In economics, this is known as a [[Externality|negative externality]]. [[Nuisance]] laws and government regulations (such as [[zoning]]) have been used to limit an owners' right to use the property in certain ways.
# Property can lead to [[Monopoly|monopolies]], giving the owner the power to unfairly extract advantages from others. Because of this, there are laws on [[Competition law|competition]] and antitrust.
# Property can lead to the commodification of certain domains which people would prefer not to be commodified, such as social relations.
# Private property gives individuals power, which can exacerbate over time and lead to too much inequality within a society. The propensity for inequality is justification of [[Redistribution of income and wealth|wealth redistribution]].