Friday/ rent control: yes or no – Willem's Planet
Friday/ rent control: yes or no
Should a city such as Seattle with really expensive housing costs, adopt rent control* measures? Maybe, but probably not.
It usually turns out that rent control creates a whole new set of problems. Renowned economist Paul Krugman writes that rent control inhibits construction of new housing, creates bitter tenant–landlord relations, and in markets with not all apartments under rent control, causes an increase in rents for uncontrolled units.
A better approach for city councils could be to provide housing subsidies or tax credits to renters.
*Rent control or rent regulation is a system of laws, administered by a court or a public authority, which aim to ensure the affordability of housing and tenancies on the rental market for dwellings. [Source: Wikipedia]
Could I sign her petition for rent control? asked the lady at the grocery store entrance today. ‘Hmm- I don’t know enough about it’, was my honest reply. So she gave me this brochure, but all it said was ‘We need rent control’. Well, in a free market and in order to be fair to everyone, even rich people – those that own entire apartment buildings – it’s just not that straightforward.
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