Here is the first paragraph in a good article about California's push to implement rent controls. A socialist wet-dream but a market failure everywhere it has been tried. From the Foundation for Economic Education:
When you see a headline that begins with “Florida man…,” you know it’s more likely to be about some guy trying to take down a tornado with his Colt Python than it is that a resident of the Sunshine State has cracked cold fusion. In public policy circles, the words “California policymakers…” appearing in a headline are attaining a similar status.
Heh - so true. Here is the thesis of the article:
Rent controls propose using government regulation to solve the symptom — high prices — of a problem — a shortage of housing — which government regulation created in the first place.
Worth reading - excellent example of the unintended consequences of government meddling into private business.
Leave a comment