Originally posted by KazetNagorraLet's say for example you want to use your money on private, middle-class housing in the US, you can choose what city to live in and many will not make housing so hard to come by, but some will.
"Mixed economy" just means some combination of signficant state intervention in the market combined with free market principles. This includes the U.S.
[b]However, it should be considered when you have some countries where so many things are more expensive and part of the costs may well be caused or worsened by market-distortions and inefficiencies.
Can you be more specific?[/b]
In Sweden, let's say you have a lot of government-housing. This distorts the market and over-builds some types of housing at the cost of others. This may make middle-class housing in Sweden more expensive than it need be due to the extent of government interference in the economy.
Originally posted by eljefejesusI know very little about the housing market in Sweden. I do know that they abolished mortgage deductions a couple of years back, so in that respect there is less distortion, at least.
Let's say for example you want to use your money on private, middle-class housing in the US, you can choose what city to live in and many will not make housing so hard to come by, but some will.
In Sweden, let's say you have a lot of government-housing. This distorts the market and over-builds some types of housing at the cost of others. This may ...[text shortened]... en more expensive than it need be due to the extent of government interference in the economy.
