Is Housing Too Expensive? Blame the Government

Most bubble talk deals with the demand for housing by easier credit.Here's a different take on the issue.The supply side has been restricted:

When you buy a house, you're not just paying for the land and construction costs; you're also paying for a building permit and other costs of compliance. You've got to get the permits, pass the zoning and historic preservation boards, ace the environmental impact statement, win over the neighborhood commission, etc.

This is very evident in Blue states where they aren't believers in property rights and free markets.Slate