alt Hacker NewsNot really, I am not saying to remove moneys entirely and use assets trading only, but the money printed or valued should be based on tangible assets, actual cost, not some made up speculation. As I mentioned above, a house that cost 100k to build and handover should never exceed that value plus profit markup, the older it gets, the cheaper it should be, just like any other assets and like how japan did it to solve the greedy banks/landlords. But obviously such thing needs to be done in an authoritarian manner as in normal democracy it will never be voted for, since most voters are owners. Other examples apply too on why things are waay over inflated for what they worth, including stocks.
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There are no moneys, only money. I don’t understand your reasoning. Why should a house never become more expensive? I built a house in s remote area, 20 years later the region is much more appealing, public transport, shopping, why should I charge less than the market is willing to pay?
> obviously such thing needs to be done in an authoritarian manner
The value of a house is determined by the Law of Supply and Demand. Endless attempts to legislate that away have all resulted in failure.
If there are 50 houses, and 100 buyers, the buyers willing to pay more will get the houses. No amount of authoritarianism is going to change that.
Did it cost 100k to build? How much was the cement worth? Etc. now to create a house from scratch, you must first invent the universe
> money printed or valued should be based on tangible assets
The US had such a system before 1914. Money was exchangeable for gold at a fixed rate. That system was destroyed in 1914 with the Federal Reserve Act, and the inevitable result was endless inflation and debasing of the currency.
The once common compliment "sound as a dollar" has vanished from the lexicon.
end the fed?
This is because our glorious government makes it illegal to build housing. Japan doesnt force anything, their private companies built tons of housing because there is profit to be made and its not illegal without years of reviews, insane taxes, bribes to various orgs, etc.
Your policy doesn’t even work in CA, new housing is absurdly expensive to build and the profits aren't even high.