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10 sats \ 5 replies \ @User21000000 8 Mar \ on: We need more cheap houses, and a huge offer of new houses/apartments. Construction_and_Engineering
The housing market is great for those with all the houses but terrible for those that want to get into it . Tiny homes seem to be affordable but a lot of people need something bigger like me with 4 kids haha
Yes, the cantillon effect, but keep in mind that many people have bigger houses/apartments than they really need. A bigger house can often mean less or no kids too. Anyway my idea is to build real estate that is actually useful as a place to live, not to be used as store of value or "investment".
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That would be great if you work it out
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What you need is a government composed mostly of engineers (like the Chinese poliburo) rather than a government (like USA today) composed mostly of rentseeking corporate lobbyists, real estate speculators and bankers cronies.
Before the neoliberal deregulation of banking in the 1980s commercial bankers had to be funding useful productive purposes- since the neoliberal market deregulation they can fund anything and its mostly been housing- causing the speculative debt fueled property price bubble you see all across the western world. Prior to neoliberal deregulation housing was almost entirely funded by non profit mutual providers removing the speculative and rentseeking that has developed since those regulations were dismantled by neoliberal politicians owned by bankers.
It is the MISUSE of fiat that is the major problem and driver of escalating house prices.
The MISUSE enabled by neoliberal deregulation of fiat banking.
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I am not keynesian pal, nor willing to have anything to do with govts, subsidies and sugar.
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Strong economies cannot exist without good government.
If you disagree show me where and when that has ever occurred.
Hpusing price escalation since 1980s are due to neoliberalisms capture of western governments and their removal of restraints upon the purpose for which commercial banks can issue fiat debt funding.
Restraints which restricted commercial banks to the issuance of funding for productive purposes.
Keynesian theory prohibits the misuse of fiat debt issuance that neoliberals have used to inflate housing prices making it a parasitic debt fueled ponzi scheme.
If you do not understand this you do not understand the nature of the problem and are very unlikely to find a solution to it.
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