This Midwest hub is the first major US city that has managed to tame inflation and other regions are starting to catch on — here’s how and where it’s happening

Want to tame inflation? Build affordable housing. And don’t take my word for it, Minneapolis has done it. “But the biggest factor (of inflation) is the cost of housing. In July, rent and mortgages accounted for 90% of the 3% inflation surge, according to the latest BLS data. Minneapolis managed to tame inflation by focusing on that key element.”

And how did they do it? First, zoning laws. “Minneapolis focused on reducing the price of shelter even before the pandemic erupted. In 2018, the city outlawed zoning rules that permitted only single-family homes. This allowed for much more housing density.” We cannot build our way out of the housing crisis without multi-family housing.

“Meanwhile, the city also invested heavily in helping people pay rent. Since 2018, renters have collectively received $320 million in rental assistance and subsidies from the city’s government.” From the “city’s government!” The city realized, before the pandemic, that keeping people securely housed is cheaper than allowing the market to decide their housing situation. More remarkable, “The result was a much better outcome for all citizens. Rents have grown just 1% in Minneapolis since 2017, whereas rent prices are up 31% in the rest of the country during that period.” That’s worth repeating - rents have grown just 1% in Minneapolis compared to 30%+ in Indianapolis.

These aren’t nebulous, liberal, pseudo-socialist strategies. These are solid, proven economic strategies that work.