Comment by travem
2 years ago
> At the same time, automation and productivity has reduced demand for human labor, and people increasingly can’t afford the rent
Given the juxtaposition of the claims above, I think it is useful to note that demand for labor is still relatively high (unemployment rate at ~3.5% in the US). The reason for unaffordable rents is driven more by the supply of housing not growing along with demand IMO.
And demand being artifically inflated by investors (ranging from boomers / gen-X ers who have extra money to Saudi oil barons) who buy up houses with the intent to rent them out or whatever.