Host: American Enterprise Institute. Despite the recent drop in house prices, too much of America’s housing remains unaffordable to the ordinary homebuyer. While genuine poverty accounts for some of the problem, even middle-class Americans—especially along the country’s east and west coasts—are suffering from extraordinarily high home prices that have resulted from the combination of robust demand and limited new construction. Can the federal government help? In Rethinking Federal Housing Policy: How to Make Housing Plentiful and Affordable, Edward L. Glaeser and Joseph Gyourko argue for a flexible approach to policy that discourages artificial restrictions on housing supply, grants resources to the poor that give them mobility to pursue maximum opportunity, and acknowledges the vast regional differences in the American housing market.
Added by insideronline on December 1, 2008