MODERN HOUSING AND URBANIZATION IN BRAZIL
Lack Of Housing In Latin America And The Caribbean
Housing has been a problem in numerous countries across the globe due to the surge in population. In these regions, housing remains a challenge though there are tremendous improvements that have been made to eliminate the housing problems. Going by the urban growth rates in the world, Latin America and the Caribbean are estimated to have the highest. It is estimated that between 2000 and 2030 the regions urban population would grow from 384 million to 609 million. However, as the population grows in urban zones, the urban poverty level is also increasing. Generally, lack of housing in LA/C is contributed by dense urban growth and this has become a problematic since the government is ineffective in implementing national policies which will eliminate housing problems.
Housing was affordable between the period of 1945 following that Second World War had just ended and people in the region had high expectations (MacTarnaghan et al, 2016). However, there was significant economic growth, but the populations in this region experienced some improvement in housing, but there was no significant economic growth, it then means that housing was relatively affordable (MacTarnaghan et al, 2016). Whereas, today affordability has been complicated since the national governments in this region have no national policy that prioritizes land use and housing (MacTarnaghan et al, 2016.). As a result, the private market is controlling housing and land use hence keeps prices as high as they can with respect to the rising demand.
Informal settlement was low as compared to today. During that period the population of the region had not grown that much. But today the population is high and people are migrating city ward, hence increasing informal settlement. For example, in 2001 a third of the Latin American population was residing in informal settlement in nations like Haiti, Bolivia, Peru and among others (MacTarnaghan et al, 2016). While in Costa Rica, Brazil, Caribbean Islands, Chile and Uruguay the slum residents were below 15 percent in the countries’ urban population. This suggests that as informal settlement and slums increase, there are those in proper formal settlement.
Lack of housing in LA/C is visible in that there is a high level of unemployment and poverty. Since 1980, the state of poverty has impacted housing negatively in that during this period, there was a reduction in formal construction and lack of healthcare assistance, food and education affected the families since they were forced to concentrate on these areas hence limiting their ability to construct houses. In addition, lack of governmental services in informal settlement led to the established of formal sectors and land invasions. Municipal government raised revenues and poor people could not be able to build houses. Many families lived a poor live and lack of rent forced them to overcrowd in informal settlements (Duncan, N.D).
The above information clearly shows that poverty is the major problem which causes inadequate housing in LA/C. Other important thing to note is that the state of poverty is increasing because the capital ownership and household income are not equally distributed. “The greatest concern about the LA/C region’s pattern of economic and social development is not poverty per se, but rather the way income is distributed”(World Bank, 2001). Income disparities have a negative impact on gross production. In addition, trade liberalization polices increases the poverty level due to global recession and market impediments. Other governmental policies such as austerity policies and low social capital investment hindered the achievement in net gain. Unequal distribution, poor working conditions and failure to provide social safety net have caused minority exclusion and poor functional democracy hence creating unbalanced settlements (Duncan, N.D).
Housing developed between 1940 and 1980 in LA/C due to increasing urbanization and industrialization. However, the rental sector growth was determined by the natural market phenomenon. There was no policy to regulate this growth, but the sector grew naturally to respond to industrialization and urbanization that was increasing expanding. Today, there are emerging issues which support the lack of housing in LA/C (Jha, 2007). The federal, state and local governments are not controlling the land supply and sustainable models. In addition, many countries in LA/C lack housing information system and government do not take systematic review and as a result, they are unable to create affordability in local and regional level (Jha, 2007). Other point is that government is unconcerned with rental housing and it fails to provide polices based on tax treatment, and other laws. It fails to take the responsibility in planning and implementing financial instruments which would enhance rental housing management (Jha, 2007).
Conclusion
All in all, the real estate of LA/C is run with or with minimal government intervention. Informal settlements continue emerging rapidly as compared to between 1940 and 1980. Nonetheless, housing has also improved significantly in the region but the challenge is that the population is increasing rapidly. Thus, putting pressure on the available housing, and this has led to inadequate housing in the region. The government should intervene and provide appropriate policies which will eliminate the housing problems.
Work Cited
MacTarnaghan, Sarah et al (2016). "Literature Review Of Housing In Latin America And The Caribbean: Phase I: Global Housing Research Initiative". Urban Institute, 2016,
http://www.urban.org/LAChousing.
Retrieved from: http://www.urban.org/sites/default/files/publication/84806/2000957-
Literature-Review-of-Housing-in-Latin-America-and-the-Caribbean.pdf
Jha K. Abhas (2007). Low-Income Housing In Latin America And The Caribbean. 1st ed. 2007.Print.
Retrieved from: http://siteresources.worldbank.org/INTLACREGTOPURBDEV/Resources/Jan07LowIncomeHousingEN101.pdf
Duncan Jennifer (N.D). Causes of Inadequate Housingin Latin America and the Caribbean. Steve Little Director of CommunicationsHabitat for Humanity Latin America & the Caribbean
Retrieved from:
http://www.habitat.org/lc/lac/pdf/causes_of_inadequate_housing_in_lac.pdf