Latest / The Fiscal Policy Podcast with Fexingo: Government Budgets, Stimulus, and Public Spending
How Subsidies Distort Real Estate Markets
We explore how targeted government subsidies for affordable housing in cities like Boston and Seattle have inadvertently inflated rents for everyone else. Lucas breaks down the unintended consequences of well-meaning policy, while Luna examines the data on displacement and market distortion. This episode dives into the specific mechanics of tax credits and zoning incentives that are supposed to help low-income families but often end up benefiting developers more than residents. We look at real-world examples where subsidy programs created a two-tiered rental market, pushing average rents…
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