Letters to the Editor

Monterey County Weekly
Posted on March 16, 2006

CONTROVERSY? WHAT CONTROVERSY?

I noticed that in Squid’s report on my speech at the San Jose Business Journal’s Monterey/Salinas Forecast, you didn’t bother to mention my two main conclusions [SquidFry, March 2-8]. You did your readers a disservice by spreading squidlike ink on what is really a pretty straightforward subject.

My first conclusion, which is not at all controversial among economists, is that restrictions on supply as envisioned in the Community General Plan Initiative will drive up the price of housing even further, putting it more out of reach of young families. My second conclusion, which is also not controversial among economists, is that price controls on houses (euphemistically called “affordable housing”), with a few lucky people getting the houses at below-market prices, will discourage construction.

Is it just possible that some of your readers would find that interesting and relevant to their economic lives?

David R. Henderson
Pacific Grove