This is John Bachelor speaking with good colleague Richard Epstein of the Hoover Institution.

Memories of rent control and rent stabilization.

I tell the story of my first department in New York. Rent stabilized in 1970. The law was passed

in 69. Richard tells the story of his first department in New York, 1963, Rent controlled, meaning not much acceleration. Richard

tells the story wittily, those were the days and he looked at an apartment on 110th, this is the upper west side, morning

side heights, wonderful neighborhood and was naive enough not to understand you

had to encourage the janitor to open the apartment

up so you could make a bid.

This is Richard Epstein of the Hoover Institution, taking us back to 1963 61 years ago.

No, actually the 1920-69 law was an effort to liberalize situation.

So you're telling me what happened to you

as a young man in 1970.

I will tell you what happened to me

as a young man in 1963.

My neighbor in Great New York was a man named Sam named Sam Kaufman who owned a bunch of apartment houses in New York City including one on Amsterdam and 119 Street.

The Freedmen were moving out. They had moved in in

1943 and had paid a fixed rent and by they left in 1964 the rent was about the

same. There may have been one small increase.

And so Sam said to me, I want you to wreck this apartment

because I know you're gone next year.

Then I could get my next 15% increase

when the other college students come in.

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