“A 2018 California initiative likely to make the November ballot called the “Affordable Housing Act” would expand state and local government power to control rent prices.

‘In many cases rent control appears to be the most effective technique presently known to destroy a city — except for bombing,’ Swedish economist Assar Lindbeck said. While the comparison is extreme, Lindbeck makes a good point.

The Affordable Housing Act, and rent control in general, is a bad policy for three reasons: It leads to housing shortages, is inefficient for the market, and de-incentivizes the type of economic interactions that help homeowners and renters.”

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