People might vote with their feet
The first three parts of The New Zealand Rack-Rent Housing Crisis series focused on housing inequality, an issue that feeds into and underpins numerous societal ills. Bold political action is needed to make housing affordable and prevent the entrenchment of New Zealand society into a class system based around inherited property wealth. This paper though focuses on productivity.
Jenée Tibshraeny, a journalist at interest.co.nz, has done excellent work investigating the inequality effect of printing money, a strategy employed by the Reserve Bank in response to the forecast economic downturn associated with Covid-19 (articles here…
The end of the John Key government was marked by a desperate scramble to reverse housing policy settings. Media reports showing homeless families living in cars shocked the nation. As a stop-gap measure, the homeless were housed in motels. The former prime minister was forced to contend with the consequences of his earlier housing attention being focused on middle-income earners and his assumption that building social housing was economic vandalism, when in fact housing as a human right was the political necessity.
Former Finance Minister Michael Cullen recently wrote an opinion piece on housing and monetary policy. To paraphrase him: the Reserve Bank are the Jedi Knights of the economy with interest-cutting lightsabers fighting against the evil empire of inflation. This worked when the problem was stagflation — high consumer price inflation and poor economic growth — but it is not working now when the problem is poor productivity, rising inequality and high house price inflation.
“We might make mistakes but we will make other things too”– Michael Joseph Savage
Renting in New Zealand is bad. The bottom 20 per cent of income earners spend a greater proportion of their income on rent than anywhere else in the OECD. For many decades New Zealand’s housing market has failed low-income earners due to rents inflating faster than wages.
Why Adding Multimodal Transport to Urban Land-Use Models is Important
Underlying assumptions of the proposed multi modal land-use model
Characteristics of Concentrated Urban Form
Characteristics of Dispersed Urban Form
Factors that help New Zealand make the most from the multi-modal land-use model
Appendix -Sufficient land pricing can pay for rapid transit
Philip George Hayward response to the paper High Land Prices: A Feature or a Bug?
High land prices because of value, is quite different to high land prices because of exploitation of powers to “gouge”.
Your history lesson is instructive as an example of an honorable government providing value; that is, they acted as land vendor in the process of “improving” the land with infrastructure and so on, paying for the improvements with the sale price.
The same is true of some governments at some times and places in history, and also true of private sector operators at some times…
Societal reform is not genuine reform without land-use change
The 2.6 kilometer long Lyttelton rail tunnel, built in the 1860s, used to perplex me because I could not understand how a tiny New Zealand province, ten years after European settlement, could afford such a massive project. Researching this puzzle reveals a lot about New Zealand’s land-use policies. It reveals that land value capture mechanisms are an under appreciated part of governance and infrastructure provision. It reveals that a dysfunctional compact between centralisers and localisers is a significant cause of inadequate infrastructure funding in New Zealand. …
Nation-building is back!
Updated September 2020
The Green Grid has become an election issue. The Labour party have announced they are bringing forward the 100% renewable electricity system commitment five years to 2030 and they will invest a further $70m in detailed design and engineering work on the Onslow pumped hydro scheme based on the findings of the $30m business case that was announced earlier by the government in July.
The economic consequences of Covid-19 has put the Christchurch City Council in a seemly impossible situation.
If the Council cuts costs. This will be called a austerity budget that has a disinhibiting effect on the economic recovery. It will counter stimulus spending coming from central government. Government MP’s like Duncan Webb have been quick to publicly warn the Council against this course of action.
Yet CBD businesses…
Christchurch’s earthquake damaged city exposes many underlying urbanism lessons. Minimising land wastage on car parking is one lesson.
Christchurch often has local spats that generate more heat than light. The public argument about whether the Council continues to waiver inner-city development contributions is such a spat.
The policy since 2014 has cost the Council $12.9 million in uncharged fees and it has announced a further $7.1 million in funding.
Some have characterised this as “fat council handouts for property developers but austerity for the rest of us”. …
Trying to optimise amenity and affordability values for urban areas