Dori: Everyone has to see rent control is the wrong option

There’s an effort in Olympia that would allow cities to implement rent control, even though there is a “consensus among economists that rent control doesn’t work,” as Forbes contributor Roger Valdez puts it.

Washington lawmakers consider abolishing rent control

“What rent control does is it kills off supply because you destroy financial inventive to be able to invest in making more housing,” he told Dori Monson, who believes lifting the ban on rent control would be disastrous. “If you believe in supply and demand, and high prices are an indication of scarcity, then rent control just accelerates lack of supply.”

Valdez points out that rent control doesn’t mean cost control. Taxes and utility rates will continue to rise, for example.

Valdez says lawmakers in Olympia are trying to say the effort is not about controlling rent. But what it does is “take the cookie jar off the top shelf and puts it on the counter.”

“The fact is, if this bill passes and becomes law, there will be rent control in Seattle.”

Dori wonders why there is a push in Washington state when it’s obviously not working elsewhere.

“What we’re seeing nationally with tax cuts and reduced regulations on business, it provides for an economic boom. People are making more money. It’s undeniable.

“Everyone has to see what our tax cuts have done for the economy and individual workers, and yet we are 180 degrees different in our region with skyrocketing taxes and increased regulation. How do the people see what’s going on nationally and say, let’s do everything opposite of what’s working everywhere else in America?”

Valdez says it’s the ideology of Seattle.

“… lefty Democrats — and they’re down in Olympia too — when you hear them talk about housing you hear them say more money, more money, more money. And what we really need is more housing, more housing, more housing.”

Unfortunately, they don’t want anybody to build it.

Listen to the entire conversation here.