1st February 2017
The most brilliant Thomas Sowell – on the nonsensical public policy concept of “affordability”
I regret I’m discovering Sowell’s extensive work only now. It is an amazing pleasure to read his articles and books.
In this one, I’m noting a few of his insights on the ultra-spurious concept of affordability:
“Many of the cant words of politics are simply evasions of reality. A prime example is the notion of making housing, college, health insurance, or other things “affordable.”
“Virtually anything can be made more affordable in isolation, simply by transferring resources to it from elsewhere in the economy, and having most of the costs absorbed by the U. S. Treasury.
“The federal government could make a Rolls Royce affordable for every American, but we would not be a richer country as a result. We would in fact be a much poorer country”
– Thomas Sowell
prices are conveying an underlying reality about costs and scarcity — a reality that is not going to be changed by throwing the taxpayers’ money around to make things “affordable.”
housing prices have been forced up by artificially created scarcities, many under pious political labels. In one of the hotbeds of environmentalism and other forms of liberalism — California’s Marin County, across from San Francisco — the average price of a house rose five-fold in just one decade.