In this discussion, Smart Prosperity Institute economist Mike Moffatt and journalist Cara Stern read a viewer email from Atanas Georgiev of Niagara-on-the-Lake, Ontario, who is wondering about potential negative side effects of a deflationary housing market if there is a drastic increase in housing supply. They explore the definition of affordability and the various pathways to achieving it, including reducing expenses, lowering interest rates, and increasing wages. They also discuss the possibility of building more supply in walkable neighborhoods and the potential impact on home prices.

00:00 Show Introduction
01:25 Introducing the Mailbag Episode
02:29 Do we need a crash to restore affordability?
03:10 Defining affordability
05:00 What do we mean by shelter costs?
07:00 Is deflation a reasonable worry?
08:55 How do wages affect affordability?
10:15 What we build matters
10:50 What would the city look like with way more housing?
13:11 Wouldn’t some home prices go up?


Hosts: Mike Moffatt   / mikepmoffatt   & Cara Stern   / carastern  
Producer: Meredith Martin   / meredithmartin  

This podcast is funded by the Neptis Foundation https://neptis.org/
Brought to you by the Smart Prosperity Institute https://institute.smartprosperity.ca/