Earlier quoted context omitted.
Currently there is a hard limit on how many properties per year can be built due to lack of construction workers + training positions for new workers + being sure of work in the next decade(s) due to economic cycles. Since the factor limiting supply is not cost or demand, prices keep ever-increasing with no gains for society; just filling the coffers of the haves. You should really watch out with insults of economic…
I stand by my characterization, this comment is symptomatic of the same problem. That a country with high unemployment has the nr of workers in the construction sector as the major limitation in construction of new housing seems very implausible. What about zoning laws? To the extent a country with high unemployment can’t find enough construction workers it’s likely to be some kind of government/regulatory failure. R…
Boomers retiring will create a permanent labor shortage for the foreseeable future. People just don’t want to be construction workers, and who can blame them? Especially with how construction workers got screwed over after 2008. That nuked the construction sector so hard that employement in construction has just barely recovered to 2008 levels.
It would be beautiful if housing was the pure demand-supply curve that many claim it is- but currently it isn’t. Letting the market solve the housing problem doesn’t create additional future housing as that is blocked by house construction output, all it does is allow maximizing profit on existing real estate.
With the extreme anger and complete societal gridlock that the first world housing crisis is fomenting, if the fix was “just unregulate lol” politicians would have done that by now.