[michaelochurch]

Thank you for writing that. I'm at a conference and don't have time to correct all the wrongness on the Internet. High house prices are a combination of regulatory corruption ( NIMBY) and extreme price inelasticity.

Disasters that destroy housing actually increase the notional value of housing after the (very short) period of panic wears out, because the price spike more than cancels out the loss of supply. But wealth was destroyed, not created.