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Japan federalized zoning rules meaning cities can't arbitrarily deny housing. This allows supply and demand to meet, leaving housing approximately at the cost o
by arcticbull 3y ago
Japan federalized zoning rules meaning cities can't arbitrarily deny housing. This allows supply and demand to meet, leaving housing approximately at the cost of construction.
- seanmcdirmid 3y agoThat is true, but you can't discount a lack of speculation, a shrinking population, a culture of structure depreciation, and low wages.
- arcticbull 3y agoI agree but speculation is usually on the basis of prices going up. If prices don't go up there's nothing to speculate on. The shrinking population only affects demand - but price is at the nexus of supply and demand. So you can achieve that by dropping demand or raising supply. The argument that demand affects price is an implicit argument that supply does too.