Elections; Cannabis Union; Wealth Inequality & Housing Crisis w/ GCD Union, Max Buchholz | MR Live

The Illinois Democratic primaries showed a challenging landscape for progressive candidates. In District 2, the APAC-favored candidate, Donna Miller, won with 40%, while the progressive choice received only 12%. Juliana Stratton's win in the Illinois Senate primary was a notable defeat for the crypto industry, and her campaign strategically attacked Donald Trump, boosting Governor Pritzker's political standing. Despite significant spending (e.g., $30 million from APAC, $20 million from crypto), APAC ads notably avoided mentioning Israel, indicating its toxicity among Democratic voters. Overall, the results suggested a 'not great day for progressives' in several congressional races.

Host Sam Seder's analysis of Illinois primary results, including specific district outcomes, candidate affiliations (APAC, progressive, crypto), and campaign strategies.

Employees at Gotham Cannabis Dispensary in Brooklyn successfully organized to join RWDSU Local 338, but faced severe retaliation from management. Tony Delorbo, a key organizer, was unlawfully terminated for alleged 'gossip and bullying' shortly after the organizing drive began, a claim refuted by a current employee. The company also significantly delayed bargaining for a contract for approximately six months after the union won the election, demonstrating a lack of interest in respecting employee wishes or reaching an agreement. This highlights a broader trend where even 'progressive' industries like cannabis can exhibit anti-labor practices.

Testimony from Tony Delorbo (former employee), Malik Bowens (current employee), and Luca Negro (union representative) detailing the timeline of organizing, termination, and bargaining delays.

Max Buckholtz, lead author of a working paper from the London School of Economics, challenges the prevailing 'abundance theory' that housing unaffordability is primarily due to restrictive regulations and a supply shortage. His research suggests that while building more housing can reduce prices, the impact is marginal and would take decades to over a century to make a median one-bedroom affordable to a median non-college-educated worker, even at high building rates. This is partly because demand for housing is highly elastic, meaning people consume more housing when it's available. The core issue, according to the paper, is wealth inequality: the top 30-40% of the population has experienced significant income growth, enabling them to bid up housing prices, leaving the bottom 50-60% struggling with stagnant incomes.

Max Buckholtz's explanation of his working paper's findings, including the simulation results, the concept of elastic demand, and the analysis of mean income/housing price trends versus income growth disparities.

Given that deregulation and increased market-rate supply are insufficient to address the housing crisis, Buckholtz advocates for policies observed in other high-income countries. These include a more active public sector role in financing social housing (available across income levels), implementing national rent control, and enacting income redistribution policies. He highlights that direct income support, like an expanded child tax credit, could significantly alleviate housing burdens for lower-income households without necessarily inflating prices, as their spending patterns differ from higher-income groups who treat housing more like a luxury good.

Max Buckholtz's discussion of policy recommendations, drawing comparisons to European models and suggesting mechanisms like public housing financing, rent control, and income redistribution via tax benefits or direct payments.