Underdog Militia Report

Helping the homeless stay homeless, while subsidizing independently wealthy real estate speculators and rent seekers.

There is always going to be homeless because of mental illness, and to a lesser extent business failures.  However in a free market where people are allowed to succeed or fail without government interference, those entrepreneurs learn from their mistakes and eventually pull themselves up by their bootstraps.  The fiery furnace of the free market tempers the blade of innovation.  Hence the allowance of those temporary failures eventually leads to a higher standard of living for the average member of civilization

Here is the problem.  There are those who are using the government as a tool to guarantee profits and success for themselves.  This eventually leads to a reduction in the standard of living for the average member of civilization as a whole.

To raise the standard of living (i. e. lifestyle) of civilization requires an increase in the total wealth in existence.  Wealth can only be made manifest through production, and production starts with innovation.  The true purpose of money is not just as a medium of exchange, but also as a measuring device to allocate limited resources in civilization to there most efficient areas of production & innovation.  The more stable the value of money, the more efficiently resources will be allocated, thereby leading to a faster increase in the creation of total wealth.  When the true value of money (or currency if you prefer) is unstable, by inflation, deflation, etc. limited resources are allocated away from the most efficient uses toward those who occupy government offices and large central banks.
This leads to a slowdown in the creation of wealth and an eventually lowering of the standard of living for the average member of civilization.

So now we know why there is an increase of the homeless population in the USA and the world as a whole.  As the incentive to innovate has decreased, production has slowed to the point that the average wage after inflation has fallen continuously in the USA since the mid 1970’s.   It was in the early 1970’s that the USA went to a totally fiat money supply. Before that the dollar was always based on real wealth.
How does this cause homelessness?
It is real simple.  The price of houses have increased faster than the average income of the average American.  It is the unavoidable consequence of simple mathematics that would lead to more people not being able to afford to buy or even rent shelter.  And no amount of re-education, and “hard work” can stop it.
There are two and only two ways to lower the homeless problem.

1. Increase the average income of the average member of civilization faster than the rate of increase in real estate, thereby making shelter more affordable for the average person.

2. Lower the average price of real estate.

To a small extent, the latter started happening last year.

However, there are a small group of real estate speculators and banks who profit from the rising price real estate.  They will do anything they can to stop this from happening, even if it means in increase in the total homeless population.

They are pushing the following:

Redevelopment and gentrification activities instituted by cities across the country through which low-income neighborhoods are declared blighted and demolished to make way for projects that generate higher property taxes and other revenue, creating a shortage of housing affordable to low-income working families, the elderly poor, and the disabled.

Here is an example in the Telegraph

Related posts:

1. Conformity is theft from posterity