Monday, March 16, 2009

A Return to Depression Economics

Nevermind that it was been tried before with disasterous results, populist economics can be, well, popular with some politicians:

"The housing affordability crisis trumps any theoretical recommendations of economists," New York State Assemblyman Jonathan L. Bing, a sponsor of many of the rent-control provisions pending in New York, told

Bing supports bills that would further limit the amount landlords can increase rent after tenants move out, and that would increase to $240,000 the maximum income of people who qualify for rent control.

San Francisco Tenant Union Director Ted Gullicksen supports legislation that would llow tenants to avoid rent increases that would make them pay more than 30 percent of their income in rent.

The city's proposed law would also force landlords to let tenants take in roommates, who, Gullicksen said, could help with the rent.

But should landlords be compensated for the new restrictions on their property? "I don't think so," Gullicksen said. "Rents are so extraordinarily high. Landlords in San Francisco are just making huge amounts of money."

No comments: