http://www.thelibertypapers.org/2005/12/12/the-price-of-regulation/ Life. Liberty. Property. Defending individual freedom and liberty, one post at a time. Mon, 17 Jun 2013 22:29:16 +0000 hourly 1 http://wordpress.org/?v=3.5.1 http://www.thelibertypapers.org/2005/12/12/the-price-of-regulation/#comment-162 The Unrepentant Individual » Housing Costs - Two Views Fri, 16 Dec 2005 04:12:49 +0000 http://thelibertypapers.org/2005/12/12/the-price-of-regulation/#comment-162 [...] In a free market, however, certain equilibriums are found. As space becomes a premium, population density tends to increase. There is a lot to be said about government restrictions and zoning guidelines which slow the rate of growth of any housing, and those regulations play a huge factor in this part of the equation, as Doug points out over at The Liberty Papers: Existing homeowners, in other words, have become more politically active and have been using the power of their local governments and zoning boards to prevent developers from building new homes regardless of whether the demand exists. The result, of course, is predictable, with a decreased supply of housing, the price of that housing increases. Hence, the housing market “bubble” that everyone talks about. And, since the market is not being permitted to operate in its normal fashion, distortions are inevitable. [...]

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