By Douglas French
New York City’s government has imposed draconian rent controls. The natural outcome, as economists note, has been massive shortages.
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35 sats \ 1 reply \ @siggy47 12 Mar
NYCB bank is filled with loans on NYC rent controlled apartment buildings. Mnuchin's 1 billion doesn't come close to resolving the issue. Many more banks will deal with this. At the same time, office vacancies are growing. NYC is in real trouble.
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76 sats \ 0 replies \ @Undisciplined OP 12 Mar
I heard they're opening a big casino in Time Square. Maybe that's the answer to the questions we've had about the fate of commercial real estate.
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35 sats \ 1 reply \ @0xbitcoiner 12 Mar
I believe it was in Argentina, before the Miley era, that they implemented this type of policy. And do you know what happened? It backfired, because landlords had no incentive to keep their houses for rent. The supply decreased and the rent prices increased. It seems like this is the path that New York is following.
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32 sats \ 0 replies \ @Undisciplined OP 12 Mar
Some econ professors like playing a game with their students called "Rent Control or Bomb Damage". I think Walter Block made this up.
It's like a game show where students have to guess whether the destroyed buildings in a picture were rent controlled or if they had been bombed.
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