The microchip shortage facing the automotive industry illustrates the significant impact that supply has on the cost of durable goods.
Yglesias notes that the curtailed production of new cars during the shortage has led to a rise in prices for used cars and trucks—signaling that a constraint on the supply of new durable goods—like a car or a house—does have a measurable effect on the cost of used items in the same category. Consequently, even the cheapest used cars became difficult to afford as supplies failed to keep up with surging demand. Meanwhile, most experts agree that rising vehicle prices aren't due to vacancies, speculation, or greedy manufacturers—even though those things do exist in both industries. Unlike in the housing market, Yglesias contends that, when it comes to cars, "we are having a pretty reasonable policy debate" about how to prevent future supply chain disruptions like the chip shortage, in part because we have a "living memory" of a well-functioning auto market.
According to Yglesias, the clear-cut evidence from the auto industry should be illustrative to housing advocates who often don't believe that more market rate housing will ease cost pressures on older housing stock.
Planning for Congestion Relief
The third and final installment of Planetizen's examination of the role of the planning profession in both perpetuating and solving traffic congestion.
Minneapolis Housing Plan a Success—Not for the Reason You Think
Housing advocates praise the city’s move to eliminate single-family zoning by legalizing triplexes on single-family lots, but that isn’t why housing construction is growing.
New White House Housing Initiative Includes Zoning Reform Incentives
The Biden administration this morning released a new program of actions intended to spur housing construction around the United States.
Study: Most of Vancouver Is a ‘15-Minute City’
A large majority of Vancouver residents can access a grocery store in 15 minutes or less by bicycle or on foot.
Urban Design, Transport, and Health
The Lancet medical journal published a series of articles that explore how to evaluate and guide urban planning decisions to create healthy and sustainable cities. Live long and prosper!
Detroit Bike Share Celebrates Five Years
In its five years of operation, Detroit’s MoGo bikeshare has added electric and adaptive bikes to its fleet of more than 600 bikes.
City of Redwood City
City of Rohnert Park
City of Hot Springs
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.