The huge cost of housing is making us “slaves” – Is there a way out of the vicious circle?

Why are we so reliant on an ever-growing economy? The answer lies in the first building block of our economy: the privatization of land. The high and rising cost of land for housing has monumental, often lifelong impacts.

It affects the work we do, our available time, our need for a car and so on. We rely on growth, while caring for the planet often falls by the wayside.

There are alternatives. Innovative examples of public housing offer hope – and an opportunity to move away from endless development towards a more sustainable future.

The basis of the problem

Before the widespread privatization of land, people in many parts of the world survived by farming, hunting and gathering on common lands.

Much changed during the 16th century. The turning point was the shift to larger-scale agriculture, which gained more and more ground in the ranks of the nobility and merchants.

Land privatization serves as the cornerstone for an economy linked to economic growth

Once land was privatized, many people had no real choice but to enter the market to sell their labor. Now they had to rent or buy land for shelter and food.

Green growth has limits

Some advocates of economic growth argue that a rapid transition to renewable energy will make that growth environmentally sustainable, according to The Conversation.

However, there is growing evidence that key industries – such as retail, construction and tourism – are simply too environmentally intensive.

Even with the optimistic uptake of renewables, continued growth will exceed the limits, such as global warming and biodiversity loss, that Earth’s ecosystems can withstand.

We cannot separate GDP increases from dire environmental consequences.

The paradox of survival

Changing our dependence on economic growth is not easy. We all rely on the opportunities it provides.

For most people, the pressures of paying for housing far outweigh other survival concerns, such as those related to the environment. And these pressures are increasing.

Given this, it is no surprise that environmental concerns are also taking a backseat to government priorities.

How do we escape this vicious circle?

A modern arrangement of urban commons, developed through a revitalized public housing sector, offers a way forward.

A notable precedent can be found in Vienna, where public housing and rent controls mean that 80% of residents spend only 20-25% of their income on housing.

This policy redefines land and housing as social or common goods rather than simply market commodities. After all, land, like air and water, is not a commodity but part of our collective natural heritage. Such policies can significantly free people from dependence on economic growth, emphasizes The Conversation columnist.

As Peter Pilz, a Viennese social housing tenant, told the New York Times “If people don’t have to fight all day to survive — if they’re secured, at least in social conditions — we can use your energy for much more important things.”

Such housing models are not limited to Europe. In Singapore, up to 80% of residents are in public housing.