A report written by San Jose State University economics professors contends that new zoning rules requiring builders to sell dwellings at below-market prices will likely squelch residential construction.
"The 44-page study which examines inclusionary zoning in the nine-county Bay Area...was funded by a building industry grant and published by the Reason Public Policy Institute, a Los Angeles think tank promoting libertarian and free market principles...
The report's authors say increasing the overall supply by removing ordinances that block residential building is a more efficient tactic than inclusionary zoning, which has produced fewer than 7,000 units in the Bay Area in the past 30 years. In theory, higher and middle-income consumers would move into the additional new homes, freeing up existing homes for less-wealthy consumers."
Thanks to C. Scott Smith
FULL STORY: Report decries housing rules Inclusionary policy could exacerbate affordability crisis
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