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(To be clear I'm in favor of this, the best way to keep rent low is buidl buidl buidl) - I think this is not true when applied to finite space and resources liike capital and land. Something different when you have 2^256 slots, theoretically endless, then buidl, buidl, buidl.. :)
allocating extra capital on buildings would lead to superproduction crisis while not solving renting costs.. why? vulture funds (and banks) will retire other buildings of the market to decrease the supply, increasing prices.. while all these new buildings will end empty.. this is what happened and is happening in spain.. after the called "crisis of the brick", we have enough empty buildings..
and, we have a problem with touristic renting, this is more profitable and it is decreasing the supply for neighbors with medium/lower incomes.. so, renting control is necessary at some point to control this.. or we are going to have to live in other city to allow tourists 3 months in the year (not in my city, tho, here is cold, so cheap) 1 reply
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