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This seems like markets adjusting to inflation. It’s a combination of real estate NIMBYism and COVID. If the cost of real estate goes up, you have to pay peopl
by mathattack 5y ago
This seems like markets adjusting to inflation. It’s a combination of real estate NIMBYism and COVID. If the cost of real estate goes up, you have to pay people more or they move. And to pay people more you may have to charge more for the goods and services.
Rent control and government owned housing tend to work less than increasing the housing stock. (Affordable housing problems only help a small fraction of people and raises the cost for everyone else slowing down new building)
- mindslight 5y ago> you have to pay people more or they move I wonder if the underlying cause is the discrete punch of Covid having flushed out what were otherwise marginally-unsustainable living situations. Imagine: your rent is uncomfortably high for your wage, but you're barely treading water. The one time expense of quitting your job and moving to a lower cost of living area would disrupt you too much, and so you remain even though it sucks. Then Covid hits, your job goes away, your income (if any) is now decoupled from having a specific residence, and so you move. Even if your previous job comes back, and even if they offer to pay more, you certainly aren't going to move back into that trap!
- mathattack 5y agoAlso less people producing things so prices rise. (Global phenomenon - this might recede here but supple is constrained globally)