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'And housing has become a "store of value"' 'Not become' but 'has been' for decades. You only now start to notice it as inflation and wages have not kept up.
by fsloth 5y ago
'And housing has become a "store of value"'
'Not become' but 'has been' for decades. You only now start to notice it as inflation and wages have not kept up.
This is by design in most post-WW 2 western economies as an economic policy to "increase national wealth". That's why housing loans are subsidized and whatnot.
- nivenkos 5y agoWell post-WW2 there was a huge boom in construction in Europe at least. Especially since many cities were almost completely destroyed. Even where my grandparents lived in England, the Blitz destroyed a lot of homes and meant mass construction was inevitable. It's really been since the 80s, that all infrastructure and construction projects have been slowed down and hampered by NIMBYism - and it's all about just pumping up the existing prices through artificial scarcity.