Jim Bernstein wrote:
This has no applicability to Minneapolis at all! The "housing shortage"
in San Francisco is caused by too many people wanting to live there and
the fact that it is located at the tip of a narrow peninsula with
nowhere to add more housing. It is already one of the most densely
concentrated cities in the U.S.
My response is:
Since the point was that government regulation RAISES the cost of housing, I
will stick to the point....
Mr Bernstein's argument is backwards. San Francisco may have a housing
problem because of land limitations. But, what is our excuse? How can we
explain that our housing is so expensive compared to neighboring states?
Could it possibly be government regulations?
In fact, Ron Feldman of the Mpls Federal Reserve researched the "affordable
housing shortage." Feldman wrote that "Excessive land use regulation also
contributes to the affordability problem...� (1)
Do we believe that government regulations have no impact on the cost of
housing? Consider a few regulations:
- Requiring large lots for each house (as some suburbs do).
- Nearly eliminating rooming houses.
- Down zoning property to prevent higher density building.
- Requiring homes to be at least a certain size. ('burbs again)
- Limiting the number of Plumbers and HVAC contractors we can use.
- etc, etc.
I am disappointed that some would dismiss information because the author "is
a right-wing appologist."
Bill Cullen.
Whittier Landlord
(1) http://minneapolisfed.org/news/rel/2002/housing.cfm
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