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by arcticbull 1990 days ago
1. Wages have kept pace with inflation.

2. You're not supposed to save dollars you're supposed to invest dollars. You invest them until you have enough stored value to purchase a house - or at least make the down payment. Once you buy SPY, or bonds, or magic beans that live in your computer, inflation no longer matters.

3. Housing prices are on average the same price now as they have been since the 1970s per square foot across the US (inflation adjusted). New houses are now twice as big. Higher housing prices relative to inflation is largely due to building codes, regulation, and councils restricting development in spite of massive demand. One way to solve this is national zoning ordinances like in Japan where housing can be built in every zone. One way to not solve this at all is Bitcoin, because it doesn't change any of the real issues re: zoning and supply/demand.

None of this is new, this is how it's worked forever.

This has nothing to do with the money supply.

[1] https://fee.org/articles/new-homes-today-have-twice-the-squa...