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The real housing crisis is one of quantity

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The real housing crisis is one of quantity Enough Already 04-19-2008
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Posted by Matt W. Barrow on May 5, 2008, 5:18 pm
>
> wrote:
>> Can you support your points below, or are you just throwing out you
>> opinion?
> ----
>
> Developers have prices artifically raised by governmental rules which
> limit "sprawl" and thus force housing prices up to many times replacment
> costs. This is what makes housing unaffordable to start with.

It's called "supply and demand" - the supply of workable LAND is restricted
and even diminishing, while the DEMAND increases. The rules may be to
alleviate "sprawl" or just to protect certain insects, rodents, etc. In this
case the S&D curve is artificially contrived and the developers have nothing
to do with it.

Matt







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Posted by george conklin on May 5, 2008, 7:59 pm

>>
>> wrote:
>>> Can you support your points below, or are you just throwing out you
>>> opinion?
>> ----
>>
>> Developers have prices artifically raised by governmental rules which
>> limit "sprawl" and thus force housing prices up to many times replacment
>> costs. This is what makes housing unaffordable to start with.
>
> It's called "supply and demand" - the supply of workable LAND is
> restricted
> and even diminishing, while the DEMAND increases. The rules may be to
> alleviate "sprawl" or just to protect certain insects, rodents, etc. In
> this
> case the S&D curve is artificially contrived and the developers have
> nothing
> to do with it.
>
> Matt

Developers support smart growth because they can put more housing on less
land and charge more too.



Posted by Matt W. Barrow on May 6, 2008, 1:13 am

>
>>>
>>> wrote:
>>>> Can you support your points below, or are you just throwing out you
>>>> opinion?
>>> ----
>>>
>>> Developers have prices artifically raised by governmental rules which
>>> limit "sprawl" and thus force housing prices up to many times replacment
>>> costs. This is what makes housing unaffordable to start with.
>>
>> It's called "supply and demand" - the supply of workable LAND is
>> restricted
>> and even diminishing, while the DEMAND increases. The rules may be to
>> alleviate "sprawl" or just to protect certain insects, rodents, etc. In
>> this
>> case the S&D curve is artificially contrived and the developers have
>> nothing
>> to do with it.
>>
>> Matt
>
> Developers support smart growth because they can put more housing on less
> land and charge more too.

Developers don't set the price, the market does. Econ 101 - learn it.



Posted by george conklin on May 6, 2008, 9:08 am

>
>>
>>>>
>>>> wrote:
>>>>> Can you support your points below, or are you just throwing out you
>>>>> opinion?
>>>> ----
>>>>
>>>> Developers have prices artifically raised by governmental rules which
>>>> limit "sprawl" and thus force housing prices up to many times
>>>> replacment
>>>> costs. This is what makes housing unaffordable to start with.
>>>
>>> It's called "supply and demand" - the supply of workable LAND is
>>> restricted
>>> and even diminishing, while the DEMAND increases. The rules may be to
>>> alleviate "sprawl" or just to protect certain insects, rodents, etc. In
>>> this
>>> case the S&D curve is artificially contrived and the developers have
>>> nothing
>>> to do with it.
>>>
>>> Matt
>>
>> Developers support smart growth because they can put more housing on
>> less land and charge more too.
>
> Developers don't set the price, the market does. Econ 101 - learn it.
>
>
Developers manipulate the price of land, as does government. They always
ask government to change the zoning so they can make money by doing nothing
but by playing politics.



Posted by Sid9 on May 6, 2008, 11:47 am


>
>>
>>>>
>>>> wrote:
>>>>> Can you support your points below, or are you just throwing out you
>>>>> opinion?
>>>> ----
>>>>
>>>> Developers have prices artifically raised by governmental rules which
>>>> limit "sprawl" and thus force housing prices up to many times
>>>> replacment
>>>> costs. This is what makes housing unaffordable to start with.
>>>
>>> It's called "supply and demand" - the supply of workable LAND is
>>> restricted
>>> and even diminishing, while the DEMAND increases. The rules may be to
>>> alleviate "sprawl" or just to protect certain insects, rodents, etc. In
>>> this
>>> case the S&D curve is artificially contrived and the developers have
>>> nothing
>>> to do with it.
>>>
>>> Matt
>>
>> Developers support smart growth because they can put more housing on
>> less land and charge more too.
>
> Developers don't set the price, the market does. Econ 101 - learn it.
>
>

Eco 101 teaches you theoretical
models.....you need more advanced
courses to approach reality.

In reality theoretical supply-demand
markets never occur.





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