2 ms·
> If not, then high prices generally comes back to supply and demand, which is driven a lot more by zoning and building restrictions than by small differences i
by wk_end 5d ago
> If not, then high prices generally comes back to supply and demand, which is driven a lot more by zoning and building restrictions than by small differences in rental law.
Not discounting the importance of supply/demand, or the damage that restrictive zoning regimes have done, but I'm not sure if this should be so strongly stated, depending on how you want to define "small differences in rental law". For example, per Wikipedia:
> In 1971, the Swedish economist Assar Lindbeck, a housing expert, said that "rent control appears to be the most efficient technique presently known to destroy a city – except for bombing". In 1989, Nguyễn Cơ Thạch, then Foreign Minister of Vietnam, observed, "The Americans couldn't destroy Hanoi, but we have destroyed our city by very low rents. We realized it was stupid and that we must change policy."
Obviously banning junk rental fees is not the same as rent control, but in either case we're talking about rental law that as an unintended second-order effect is going to (to some degree or another) discourage supplying rentals by making it harder to make money renting.
So, in the interest of being charitable to the OP, I think they're including zoning laws, building regulations, and so on in what they're saying: these cities claim to view housing as a human right, yet simultaneously seemingly do everything in their power to make it incredibly hard, expensive, and risky to supply it.
I don't agree that this attitude is exclusive to big progressive cities: the right theoretically claims to love free enterprise and deregulation, but in practice they're often just as happy with overbearing government control as long as it's their guy doing it. And if anything these days the right more than the left fetishizes certain images of American life that motivate stricter regulations on development; NIMBYism cuts across the political spectrum. But it's an attitude that maybe makes better bedfellows with the left and its intrinsic distrust of markets, and maybe afflicts those left-leaning coastal cities more because they're otherwise much better places to live and thus have higher demand.