

Why Housing Is Artificially Expensive and What Can Be Done About It (with Bryan Caplan)
12 snips Oct 21, 2024
Bryan Caplan, a Professor at George Mason University and author of 'Build, Baby, Build', dives into the complexities of the housing market. He discusses how excessive regulations are driving up housing costs in places like the U.S. and Israel. The conversation explores the balance between urban charm and necessary development, as well as the surprising environmental benefits of urban density. Caplan also challenges common views on homeowner and renter perspectives regarding housing policies, advocating for deregulation to enhance affordability.
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Housing's Impact
- Housing is a major expense, roughly 20% of a typical U.S. budget.
- Government regulations significantly impact the housing industry, affecting affordability and other quality-of-life issues.
Artificial Scarcity
- Housing scarcity is often artificially created, not solely due to natural limitations.
- Modern technology allows for denser, more affordable housing, but regulations restrict its use.
Building Height Restrictions
- Cities like San Francisco and New York have very tall buildings, but only in limited areas.
- This limited concentration of tall buildings contributes to high housing costs in these cities.