Eswar Prasad

The notion that this is the American dream, that you have to have your own house with a little garden and a backyard and a fence, that you can talk to your neighbors over, that still animates a lot of U.S.

policymaking and economic decisions by young people and households today.

More broadly on the supply side is really the constraint here.

You can shuffle around the existing houses, but with people growing older, many people having mortgages that they got at very low rates, the amount of housing that is available for sale that is turning over or that is being built is certainly quite limited.

So certainly one needs to think about that issue.

And ultimately,

There has to be a supply response.

And one interesting question is why isn't there a supply response at the right level?

Partly that, you know, is related to issues that you mentioned.

I think a lot of saving is being sucked up.

by the U.S.

government right now, leaving much less out there that it can go into a pool for housing or anything else of the sort.

But there are also regulatory and other constraints in many urban areas, but many states more broadly that limit the supply of housing.

So I think we may need to think about rationalizing that as well.

And, you know, in my own community, so I split my time between Arlington, Virginia and Ithaca, New York.

And in Arlington, you know, single family homes do take up a lot of room.

And there is a question about whether there could be different zoning that allows for multifamily homes and so on.

So some of those could make a difference at the margin.

But, you know, if you

Think about the Trump administration's approach.