Socialism vs Capitalism - How Housing Goes Horribly Wrong

Building houses for everyone. This appears to be something that we can't do. It is beyond our ability. We have a real problem with building everyone a decent house.

In Crapitalism there is never enough houses built. The poor, and especially the mentally unstable can't afford their own house.

In Socialism, there is never enough good houses. Everyone gets a crappy house, except those people who know someone in the party.

Why can't we do this most basic of things?
Well, mostly it is because someone is getting a benefit from people not having a house.

How did we get here?

Someone once noted that the lumberjacks who were cutting down trees to make houses, would never be able to afford one of those houses.

Men, all through time have wanted their own house, and there were people that noticed this, and have done what they could to limit people from having their own. For some, it just makes you superior. You have a house, they don't. Now you are much more likely to get a wife then they are. For others, they just like controlling other people. And limiting housing is a powerful way to do that.

If you ever listened to someone say, "we need to keep our house values high", what they really meant was that the next generation should be kept from owning their own house.

If you ever heard someone say that "we need to build low cost housing", and they didn't mean building tiny houses for everyone, then what they were really saying is that we want govern-cement to pay for redevelopment. While making their friends (developers) rich, and while making people in the area even poorer.

The economics of making people live without

Capitalism is really great for building lots of stuff. There is a problem, at first, only the rich can afford houses. It is just a matter of there not being enough money flowing around.

Then the middle class starts being able to afford houses. Much because rich are building bigger houses, and so, the hand-me-downs are sold at a rate the next class down can afford.

And then the lower class can start affording houses, now that there are dilapidated junk that they can afford. As the middle class and the upper class buy new houses.

Unfortunately, before the poor can get enough houses, flippers and fixxers buy up these cheap houses, slap some new paint on them, and sell them back into the middle class housing pool.

Since the poor cannot afford to pay for a new house, houses are not built for the poor.

In the socialist system

A house is made for everyone.

Except it is not pretty. That kind of frivolity is not worth the cost.
Except it is not comfortable. We only have so much money to build all these houses.
Except it is not yours.

Lets say i could build a VERY energy efficient house. Or even better, make one that has passive heating and cooling. An almost no cost house. But, it costs $200,000.

Those without a house, and not enough to pay $200,000, will gladly take the gas-guzzling house for $100,000.

And the socialist govern-cement would rather take the $50,000 econo-box, with all the corners cut, and the bare minimum of "insulation".

This is the way of public works.
And usually, after the fact, you find that the govern-cement paid the $200,000 a piece price to the "developers".

In China, today, this is happening, but the quality is such that it falls apart in five years. Or worse, falls over.

Houses for everyone

Govern-cement cannot be relied on to make housing for everyone.
Only a local community, who want to see all of their children have a place to stay as the grow up, can do so. Only a group that truly wants those results, and has people involved that can afford/build these places.

The Amish get together and raise a barn. Because, most of them (maybe all) know how to build a barn, and so, can provide the labor and the know how.

For the price of one McMansion, ten normal houses can be built. And strangely, the rich person can usually afford the McMansion, and those ten houses. Where the middle class person can barely afford one normal house. This is where the community, with the older/wealthier people who want what is best for the community can provide the wealth needed for this endeavor. Further, i would hope that this community also has many people skilled at building houses. And they all come together to get these done.

What is sad is that such a community funded/constructed project costs less than buying all the houses. Like the Amish raising a barn. The barn is done, it cost everyone a weekend, and usually was paid by a grand ole time and a delicious spread.

So, we could build a lot better for everyone, but the people in charge don't want that. It seems they would all rather take a cut from your life, and the banksters want a lifetime-contract of debt from you.

All images in this post are my own original creations.