Market Correction

TANSTAFS
10 March 2007

The Editor, The Times-Picayune

To the Editor:

You correctly point out that "stronger buildings are safer buildings" ("Help for building codes," March 10). But it does not follow that Louisianans will, in general, live and work in safer buildings if building codes are toughened.

Tougher building codes raise the cost of replacing old structures with new ones. So with tougher codes, some old homes and buildings that would have been razed and built anew will, instead, remain standing and occupied. Such structures will likely be weaker than even those that would have replaced them in the absence of toughened building codes.

It's important always to keep in mind such unintended consequences.

Sincerely,
Donald J. Boudreaux
Chairman, Department of Economics
George Mason University
Posted by Don Boudreaux on Tuesday November 6, 2007 at 1:13pm

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