this post was submitted on 02 Jan 2024
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[–] Aceticon@lemmy.world 33 points 10 months ago (3 children)

Clearly they must be giving out free land in good places to live (near were all the jobs are), free materials and free time over there.

It's either that or that house you mention is supposed to be made out of opinions and built in fantasy la-la-land, as it's only how the materials and places to put it in would be endless and free.

[–] Alteon@lemmy.world 2 points 10 months ago (1 children)

I mean I get both sides here. We live in a free market economy, where the scarcity of something affects the cost of it. People want land close to the city and there's an extremely limited amount of it. If there are n*100 people and only n parcels of land in a small area, how do you provide it to people? Do you sell it? Is it a lottery system? Is the land sold at a base value that never changes? Like, how do you envision this going?

Right now, people have to freedom to buy as much land as they want and set the pricing for that land. What we need is a property owner tax that scales up depending on the amount of property that you own. Though this will just make more land available. No one in their right mind will sell it for less than it's worth though.

[–] justJanne@startrek.website 1 points 10 months ago

If parcel A has a property value of X

And parcel B has a property value of 2X

Then you can have the same rent on both of them if building B is twice as tall as building A.

The whole "single family residential only" zoning in the US is the issue.

[–] ThrowawayPermanente@sh.itjust.works -5 points 10 months ago (1 children)

The land is really the limiting factor here, the rest is very easy by comparison.

[–] Aceticon@lemmy.world 6 points 10 months ago* (last edited 10 months ago) (1 children)

There are tons of natural limitations in all kinds of things and all sorts of Markets - which is why Free Market Theory is mainly bollocks: the conditions for it to work as advertised exist only in a handful of Markets.

In Housing, clearly Land is the main limiting factor in places like cities and surrounding suburbia, though if that was removed we would eventually run against other limiting factors, probably on some kinds of building materials or manpower (hence my mentioning of both), though all that could be overcome with time whilst Land limitations, although made worse by Landownership laws, are ultimatelly down to there not being possible to make any more of it (though different work patterns could make it be much more efficiently used if they weakenned the need for people to live in and around cities).

Also keep in mind that land usage efficiency can be increased by building more multi-story housing, though in the current situation with land ownership that possibility just gets translated into higher land prices, so in places like the US you end up with sprawl rather than medium density housing: the whole economics of Land and thus housing pricing make a bigger and nicer living place far from a city center be the same price or cheaper than a crummy appartment nearer the center, even though were land was used with higher efficiency and dwelling size is smaller the price per dwelling should actually be cheaper.

Even in space I expect there will be some areas that are most desireable than others because of proximity to resources and markets. Increasing density is something I am very much in favor of but as you correctly pointed out this mostly leads to higher land prices which represent value captured by the ownership class as explained by the Iron Law of Rent.