Chapter 4 Review: Pointing The Arrow

Rising rents in large cities from a shortage of housing rather than from wage growth, though the two are often confused. The shortage itself is by planning rules that were written for a much smaller population, and every year of delay the problem further. One that policymakers rarely anticipate is that long commutes lengthen as households move outward, which in turn a knock-on effect on road congestion. Rising rents also a burden on younger workers, and are to the mental health of those spending more than half their income on housing. No single measure will the shortage entirely; the realistic aim is to pressure at the lower end of the market while supply catches up. that construction rates remain where they are, however, even that modest goal is out of reach.