Final answer:
Property rights are indeed limited by government and rights of others with a legal interest in the land, as this helps establish a balanced society where laws protect individual property rights while setting out necessary limitations for the broader public good.
Step-by-step explanation:
It is true that property rights are limited by government and the rights of other persons with legal interest in the land. Property rights are the rights of individuals and firms to own property and utilize it as they see fit. However, these rights are not absolute and are subject to various limitations to ensure that the exercise of ownership rights does not infringe upon the rights of others or the public interest. Governments enforce laws that define and protect property rights but also impose restrictions for reasons such as environmental protection, zoning regulations, and the rights of tenants. Furthermore, the existence of contracts and the legal system provide recourse in cases of noncompliance, which underscores the importance of these legal frameworks in both protecting and limiting property rights.
Economic growth is also tied to the effective enforcement of property rights, as clear and fair laws create a stable environment for transactions and investments. Therefore, while property rights are central to individual freedom and economic development, they are concurrently bounded by the necessity of a well-functioning, equitable society.