2-node-supercomputer.net 2021-07-17
In just about every big city in the US, housing prices have increased dramatically. Wouldn’t it be nice to have a graph showing that? Yes it would, but that’s not what you are getting.
Instead, I will explain the idea that the housing price is reflection of other bigger problems, and those problems are probably related to infrastructure.
For example, Los Angeles imports 90% of its water from northern California, the Sierras, and the Colorado River. If by some magic wand of local politics working to make building housing cheaper so that more people could live in LA, then where will the water come from? Water will have to get significantly more expensive. In fact, water would need to become a noticeable part of a typical families budget to limit the migration of workers to LA.
However, as it stands, water is barely a noticeable item. Indeed, it tends to be included in the rent, so that you barely notice it – even if it was significant.
What about other cities? You will always find some resource that is restricted, or perhaps it is not obvious. San Francisco likely also needs water, and uses pretty much the same water sources as LA. New York is known to need to upgrade its subway system: what else have they neglected?
Now, finding the exact connection between housing regulation, which is directly responsible for housing price increases, and the lack of infrastructure investment is difficult.
Is this nonsense? Am I making the situation more complicated than it is? Is it actually as straightforward as housing regulations being the culprit? If it is, then how will SoCal get more water?