When Does Land Regulation Become Too Expensive?

This column looks at the ramifications of the recent Supreme Court decision on the limits of property owners' rights in Lake Tahoe. Justice Stevens, speaking for the majority, "declared pretty much all land-use planning -- and for that matter, pretty much all government activity -- anextravagance," according to Landsburg. And with its decision, "the court has encouraged policy-makers to ignore the costs of their own bad decisions," which Landsburg believes is a recipe for bad decisions.