Since 2000, the value of the S&P 500 stock index has gained about 600%. Over the same period, inflation-adjusted worker earnings have climbed just 12.5%.
That’s ok, we just need to keep growing the pie. Forever. If we do that, eventually even the poorest will be living like the average millionaire today. At least I think that’s the theory those ‘Abundance’ people, like Ezra Klein, are pushing: just keep growing until we’ve converted so much of the Earth’s resources into profits for capital that there’s just so much god damned wealth that inequality no longer matters? I guess.
I’m not very far into ‘Abundance’ but the jist I’m getting so far is quite different from what you’re saying…
But instead, we are simply very far behind on infrastructure and building. We should be building…dense housing, clean energy, transmission lines, etc…to make up for decades of intentionally slowing down development, mainly intended to protect homes and communities that were already built.
I’m not getting the impression that it’s saying that zoning is bad, just misguided. We spent the 70s/80s/90s over-correcting for shit we did in the 40s/50s/60s…and now we’re stuck in this rut where we need to make up for it, but progress is limited primarily by red-tape and NIMBYs (and most of that red tape is there by-and-for the NIMBYs).
I agree, but who’s going to initiate all of this development? I suppose the idea is that without the obstacle of unnecessary regulations, private capital will flood into these developments, but I don’t buy that regulation is what has been primarily holding private capital back. Investors will cut through any and all red tape if the potential for profit is high enough. Where’s the profit potential in building out electricity transmission infrastructure, for instance? Aren’t most infrastructure projects publicly directed and funded, anyway?
I just think people like Klein place far too much faith in the invisible hand of the free market.
to make up for decades of intentionally slowing down development, mainly intended to protect homes and communities that were already built.
Not to protect communities, to protect individual wealth. The vast majority of American households have the vast majority of their wealth in their home. It is by far their most valuable asset. For many Americans, it’s their retirement plan. For many others, it’s the only inheritance they have to pass on to their children. That’s why they vote for restrictive zoning laws, they’re trying to protect what relatively little wealth they’ve been able to accumulate in their life.
That’s ok, we just need to keep growing the pie. Forever. If we do that, eventually even the poorest will be living like the average millionaire today. At least I think that’s the theory those ‘Abundance’ people, like Ezra Klein, are pushing: just keep growing until we’ve converted so much of the Earth’s resources into profits for capital that there’s just so much god damned wealth that inequality no longer matters? I guess.
I’m not very far into ‘Abundance’ but the jist I’m getting so far is quite different from what you’re saying…
But instead, we are simply very far behind on infrastructure and building. We should be building…dense housing, clean energy, transmission lines, etc…to make up for decades of intentionally slowing down development, mainly intended to protect homes and communities that were already built.
I’m not getting the impression that it’s saying that zoning is bad, just misguided. We spent the 70s/80s/90s over-correcting for shit we did in the 40s/50s/60s…and now we’re stuck in this rut where we need to make up for it, but progress is limited primarily by red-tape and NIMBYs (and most of that red tape is there by-and-for the NIMBYs).
But like I said I’m not far into it.
We are.
We should.
I agree, but who’s going to initiate all of this development? I suppose the idea is that without the obstacle of unnecessary regulations, private capital will flood into these developments, but I don’t buy that regulation is what has been primarily holding private capital back. Investors will cut through any and all red tape if the potential for profit is high enough. Where’s the profit potential in building out electricity transmission infrastructure, for instance? Aren’t most infrastructure projects publicly directed and funded, anyway?
I just think people like Klein place far too much faith in the invisible hand of the free market.
Not to protect communities, to protect individual wealth. The vast majority of American households have the vast majority of their wealth in their home. It is by far their most valuable asset. For many Americans, it’s their retirement plan. For many others, it’s the only inheritance they have to pass on to their children. That’s why they vote for restrictive zoning laws, they’re trying to protect what relatively little wealth they’ve been able to accumulate in their life.