Chris Parker, Auckland Council’s Chief Economist, introduces an opinion piece published in the Guardian on British housing:
The following article on the subject of the United Kingdom housing market is just as relevant for New Zealand.
There is too much money sloshing around the economy looking for a home, and our existing homes are what we give it. This causes an unsustainable, inequitable boom.
Alternatively, we could engineer a solution for the twin problems of where money can go instead, and how to ensure a meritocratic society.
We need to create new pathways for money to fund urban growth to promote competitive land markets. This is how the central US maintains affordable prosperous cities, even during the Great Financial Crisis.
