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Are rent caps a good idea? Show more Show less

Rent caps, which set limits on permissible rent charges or cap annual rent increases during tenancies, have been adopted by many cities as a way of curbing rising rents. But do rent caps actually work? Do they keep city rents affordable? Or are they part of the problem?

Yes, rent caps are a good idea Show more Show less

Rent caps keep rents affordable and prevent displacement.
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Rent caps reduce political friction

Without rent caps, urban planning often comes up against stiff local resistance.
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Context

When local residents believe that local business and infrastructure projects will cause rent rises, they are resistant to change.

The Argument

When low-income communities see a large new infrastructure project being planned for their area, or a new business building a facility, often, the first thing they think is how it will affect their rent. If they believe their rents will go up (a natural result of local investment), they are likely to organize in opposition to the plan. However, if they are protected by rent caps, it is likely to remove many of the political barriers local communities can erect and create a smoother urban development program.[1]

Counter arguments

Framing

Premises

[P1] Communities often oppose urban planning projects that will cause rent rises. [P2] Rent caps set strict limits on rent hikes. [P3] Therefore, local communities are less likely to oppose urban planning projects when rent caps are in place.

Rejecting the premises

Proponents

Further Reading

References

  1. https://jacobinmag.com/2019/11/rent-control-housing-crisis-affordability-supply

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This page was last edited on Monday, 20 Apr 2020 at 12:45 UTC