The Institute for Democracy and Economic Affairs (Ideas) has warned the government to be careful of not intervening the housing market directly and creating distortions.
As the National Affordable Housing Council (MPMMN) plans to build one million affordable homes in the next 10 years, Ideas senior fellow Dr Carmelo Ferlito’s (pix) concern is not rooted in the targeted numbers of houses per se, but pointed out that the government’s involvement in the industry may hurt the industry in the long run.
He said market information is by nature dispersed into individual minds and therefore not collectable by a single central planner. It is also dynamically created, and modified, through billions of market interactions.
