A bond is still participating in the economy, if you purchase a $10,000 municipal bond, for example, that's $10,000 that that municipality has to spend on projects and payroll.
That's how they're meant to work, yeah, but as this point I'm pretty much convinced the stock market is so corrupt that only a fraction of the money actually does recycle.
So, what, apartments would become rent controlled, ancestral housing? What happens when parents have two or more children? Who gets their home and where does the other one live? Or what happens when people with a nice home die without any heirs? Or what happens when the studio apartment that suited you just fine as a struggling single guy is a bit small for a highly successful father of three? Or what happens when a perfectly serviceable building suffers damage or natural decay that renders it unlivable? There need to be plenty of methods for mobility.
You will get to own your apartment, you just won't be able to sell it. Sure, it will be a challenge, but you seem to forget that there is now a massive amount of money that will be put to good use solving all those problems. Housing is often very limited now because the people who have a say in the business will not build new real estate because the prices have to stay up. Lord knows what would happen if people discover housing doesn't actually have to be a scarcity! Cal me crazy, but I believe it will be alright if houses will actually be built according to the needs of the public.
It's been done before, kind of a communist idea. You'd have to come up with an enormous regulatory body to assign housing privileges, which would be prone to corruption.You'd probably end up with everybody living in something like Soviet style apartment blocks. When people don't have some sense of ownership of the houses, it's also very likely they'll fall into disrepair.
It's definitely not an all new idea, but like everything done right or bad it will eventually come to good planning and proper execution. In my view there definitely won't be an enormous regulatory body, cause you're right, that will breed corruption. There are other options like small local comittees to prevent this, which you will get to serve on pretty much like in the jury system, Or maybe accredition of new houses can even be done 100% democratically via higly secure polls on the internet. As I said there will be financial transparancy and ofcourse there will be much legal planning.
Most of the public housing in the Netherlands is owned by woningbouwverenigingen. I think that's what my namesake means by housing corporation.
Yes. My bad. I assumed this was a common phenomenon, but apparently it isn't quite that widespread. Corporations that own houses that they rent for profit.