Housing shortage has become a serious social problem, some people think the only soulution is by government actions. To what extent do you agree or disagree?
In the past few years, we witness the soaring housing price in China, setting new records one after another due to the housing shortage, which has already become a serious social problem. As far as I am concerned, it is our government’s responsibility to tackle this issue.
First and foremost, merely relying on the market would play a limited role in dealing with such social issues as the health care system and housing shortage. Instead it requires our government’s intervention. According to the market theory, housing shortage can inflate housing price； which in turn curtails the number of affordable houses, making the shortage of housing even worse. Therefore, government’s intervention is a must in handling the issue of housing shortage.
Furthermore, government is equipped with the tools to curb the exacerbating housing shortage. First, it can take up legal means by releasing some laws and regulations to halt the rocketing housing price and make them more affordable to the general public. Moreover, government can also use its fiscal revenue to construct affordable houses for the low-income families, or it can subsidize the construction and purchase of such houses.
Only when everyone is assured of a place to live can it be possible for us to acquire social stability. Considering the inherent inefficiency of the market as well as the abundant yet exclusive resources the government has, including legal, financial and technological resources, government should take up the responsibility of tackling housing shortages.