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The housing crisis is basically about supply and demand. If you reduce the population then you reduce the demand and the property values will drop. The Gold Coast rental crisis could be rectified with the right politicians, councillors and Mayor.
A Simple Solution To The Housing Crisis Requires Congruent Politicians
By Abby Eagle (2024)
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I am on the Gold Coast of Australia and we have local elections coming up in a week. I have always been fascinated as to why people do what they do and we can get an insight into that by modelling out some key aspects of their:
1. Personality Type
2. Identity
3. Values
4. Beliefs
5. Passions and interests
6. Ethnicity, culture and religion
When we make a decision on who to vote for we do that by looking for key indicators of their personality type – who they claim to be, that is their identity – the values they profess to hold near and dear – what they believe in – and what they will do for us when elected. Sometimes people will vote based upon race, ethnicity, culture, religion or gender.
But as so often happens we can elect a new politician but nothing changes, for one reason or another. What I would like to draw your attention to here is cognitive dissonance – that is the ability to profess that you care about two different things which are in fact mutually exclusive. For example, in Australia as in many countries we have a problem with escalating rental property prices.
So we have politicians saying vote for me and I will make sure that you get, “affordable property prices”. Yeah sure – give me a break. So the left brained bureaucrat politician sets a five year plan to spend 100M of tax payers money to build blocks of apartments – and as the population increases nothing changes.
The way I understand property prices is that it is simply a matter of supply and demand. If there is no demand to buy or rent the property then the value of the property will fall. Now please tell me if I am right or wrong on that point? So if you reduce the population in a given area then the demand for the housing will decrease and it follows that the renters have more choice and so the rental price being asked for will drop.
And now this is where we get the values conflict and the cognitive dissonance. Politicians, investors, home owners and Banksters all want the price of properties to increase because they want the economy to flourish so that they can increase the value of their assets and make a profit. And so to make more money they need more people – and so if you bring more tourists and international students and migrants into an area then it brings more money into the economy but at the same time it pushes up rental prices which makes life harder for the locals.
Promising to build more affordable housing will never solve the housing crisis. What politicians need to do is to look at their values hierarchy and deal with their values conflict – and understand that it demonstrates a lack of integrity to promise everything to the electorate. Sometimes you have to make difficult decisions in which have to say “no” to one thing in order to say “yes” to another thing.
So since affordable housing comes down to supply and demand then the solution is to reduce the population in a given area. Now this is not as radical as it seems. If the Regime can create 15 minute cities and if the Regime can lockdown entire countries for a pandemic then I am sure we could give the Gold Coast of Australia a boundary. We have an idea of the population. We have an idea of the number of tourists, international students and migrants that move in and out of the area. So if the government puts a limit on the population of the Gold Coast and then over the next 12 months they aimed to reduce the population by say 10% then this would reduce the demand for rental properties and the rental prices would decrease. Monitoring the movement of the population would not be difficult because it has already been done during the COVID era.
Of course all the businesses that rely upon international visitors will scream that it is affecting their bottom line. Which is true and this is where we get the cognitive dissonance – the values conflict. But do you want to spend your life working 40 – 60 – 80 hours a week just so you get the big house, the flashy car, the luxurious lifestyle that the advertisers are constantly trying to sell you or would you rather slow down a bit and enjoy life? Do you want to push, push push – or would you rather work hard so that you can live comfortably and spend time doing what you really enjoy – such that at the end of your life you look back and say that was a life well worth having lived?
What we need is a new type of politician – a politician that understands the complexity of a values hierarchy – and how to communicate that to other politicians and to the main stream media and to the electorate at large – such that we get to see more congruence in politics rather than a pandering to feelings for the sole purpose of gaining political power and prestige.
What we need is a politician who is willing to work hard to improve the quality of life for all the people in their electorate – from the bottom up. On a finishing note I am reminded of the South American President – Jose Mujica – the President of Uruguay from 2010 - 2015 who gave 90% of his $12,000 monthly salary to charities and small entrepreneurs.
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