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Economics

The Politics of Housing Affordability in Global Cities

Quick fact

In many global cities, restrictive zoning and planning regulations—not just population growth—are among the biggest drivers of housing unaffordability. These rules are often shaped by existing homeowners' political influence, limiting where and how many new homes can be built.

Why this is interesting

You may think housing prices are simply set by supply and demand, but in global cities like London and San Francisco, politics often matters just as much as economics. Why is a one-bedroom flat in some neighborhoods unaffordable for most earners, while an identical flat in another city is attainable?