Quote:
Originally Posted by Jebby
And the findings of the "real world" are that rent control (any price control, really) negatively affects supply and the quality of that supply. Rent control hurts the poor it's meant to help more than anyone by reducing the incentive to create affordable housing and reduces the incentive to modernise existing rental stocks.
|
Jebby, let's use Manhattan, NYC as an example. Would you conclude that city government rent control there has harmed low income workers seeking to live in "the city" by being a disincentive for the private sector development of low income housing in that part of NYC?
I would argue not and here's why. It's all about LOCATION, LOCATION, LOCATION! Manhattan is an ultra desired location for living hence the price of housing will be ridiculously high. Developers are currently building skyscraper apartments like crazy in Manhattan but guess what,...the poor still can't buy in no matter how many units are built at existing market prices. Hence how else do you think crucial lower income residents (e.g. cops/teachers/health care professionals/fire services etc.) will get a chance to live close to work (which helps reduce carbon footprint etc.)? You've got it!!...rent control........
Threaded Mode