A blog post in Pacific Standard seeks to defend rent control- an idea that, as the author admits, is generally detested by economists.The author writes that "rent regulations give tenants a greater stake in their community and incentivize them to put time, energy, and even money into their … [Read more...]
The Sheer Craziness Of New York City’s Rent Stabilization Mandates
Recently, I met someone who was trapped in a terrible apartment. Why "trapped"? For months (if not years) she had been in an adversarial relationship with both her landlord and her neighbors, but she can't quite bring herself to leave. Why not?First, she is in a rent-stabilized apartment, and … [Read more...]
The Psychological Consequences Of Rent Control
The University of Chicago Press has published a “definitive” edition of F. A. Hayek’s The Constitution of Liberty under the editorial guidance of long-time Hayek scholar Ronald Hamowy. Given my interest in urban issues, it’s a good time for me to focus on chapter 22, “Housing and Town Planning.” It … [Read more...]
Rent Control Is Bad For Both Landlords And Tenants
When laypeople hear the phrase “rent control”, they typically conjure up one of a few images. Tenants imagine easy street, a world where housing is ridiculously low cost. Maybe they think of rent control in NYC, where they saw the characters from Friends live in large apartments for far below market … [Read more...]
Rent Control: A No-Win
In an otherwise excellent article on NIMBYism and luxury housing, affordable housing consultant Rick Jacobus writes: “economist Anthony Downs reviewed the published studies and found that while 'stringent' rent control imposed over a very long time had reduced private apartment construction in the … [Read more...]
A response to Interfluidity
On Interfluidity, Steve Randy Waldman posted some criticisms of the market urbanist position. The post was interesting, though I took issue with a few specific points. The following are my responses. Regulatory Authority as a Property RightThe customary property rights surrounding homeownership … [Read more...]
How to Fix San Francisco’s Housing Market
Want to live in San Francisco? No problem, that’ll be $3,000 (a month)--but only if you act fast.In the last two years, the the cost of housing in San Francisco has increased 47% and shows no signs of stopping. Longtime residents find themselves priced out of town, the most vulnerable of whom … [Read more...]
The Case Against Rent Control
To someone ignorant of economic reasoning, rent control seems like a great policy. It appears instantly to provide “affordable housing” to poor tenants, while the only apparent downside is a reduction in the income flowing to the fat-cat landlords, people who literally own buildings in major cities … [Read more...]