Another case of supply and demand – Chico Enterprise-Record


Other local citizens can certainly sympathize with the Chico public works workers (Home page, December 9) over the issue of being able to afford to live within the city limits. But it’s unlikely that public employers, or the private sector for that matter, will be able to raise wages fast enough or high enough to match the soaring cost of real estate.

The point is that housing costs, whether buying or renting, are always in a tight supply in the face of ever increasing demand. Those who argue and (directly and indirectly) drive up the cost of available housing include not only local populations, but also burn scars evacuees, refugees from the California coast, foreign speculators and newcomers from the countries. from the south, among others.

Unless major and (at least for the privileged) painful public policy initiatives are taken to again broaden homeownership widely across the popular and lower middle classes, we could end up in a European model here. in Chico. In countries like France, Switzerland and Belgium, for example, single-family urban property is reserved for the affluent, professional and managerial, while others have to make do with condominiums, dense townhouses or large townhouses. ‘a lifelong apartment status. tenants.

Possible public actions that could reverse part of this situation could be restrictions on foreign ownership of property; financial disincentives to own, but not to occupy, single-family residences; and the implementation of long-term public lease options on the land, so that a young family only has to buy the house themselves.

– Carl Ochsner, Chico


Comments are closed.