Sunday, February 4, 2018

The Horrific Rent Control in Mumbai

Watch this.



  1. Over and over again the moral high ground is ceded to these meddlers by calling it 'well meaning'. The meddlers, at least a fair proportion of them, know exactly what they are doing. They know they are destroying the wealth of the individual small landlords. Over time the land holdings become consolidated.

  2. It's interesting that the video is entitled "Development Economics," as if that is a separate branch of economics. Yet all of the economic laws (implicitly) discussed are applicable universally. Rent controls have a similar impact in the US, and are themselves just an example of state-enforced priced ceilings which, as we know, create artificial scarcity (see, "price gouging" legislation's impact after natural disasters). The economics profession does us a disservice by creating the illusion that economic laws apply differently in different contexts.