Homelessness in the E.U.: Rectifying a Right

In late 2025, the E.U. Commission presented its first European Affordable Housing Plan. The E.U.’s involvement in “social housing,” which translates into federal funds being used to provide housing beyond homeless shelters for people who cannot afford to house themselves, implies that the programs of the states had been insufficient. The U.S. could take a lesson from the Commission’s plan, which is cleverly multi-pronged in tackling the societal problem. Both in the E.U. and U.S., both federal and state funds were needed even in 2025 when neither economy was in recession. It is better to increase the supply of affordable housing when times are good than when unemployment is soaring. This is an exception in the E.U. to the usual pattern wherein the E.U. increases its competencies, or enumerated powers, in periods of one crisis or another. Russia’s multi-year invasion of Ukraine, which borders the E.U., and the Union’s foreign and defense activity demonstrate how European integration has typically been enhanced by crisis rather than when times are good.

Homeless in both the E.U. and U.S. was a problem in 2024. In its “9^th Overview on Housing Exclusion” in 2024, Feantsa estimated a total of 1,287,000 people “rough sleeping, staying in night shelters, or temporary accommodation” in the European Union.[1] According to the U.S. Federal Reserve Bank, 771,400 people were homeless in January, 2024—an increase of 118,300 from 2023.[2] The total population of the E.U. at the end of 2024 was estimated at 450.4 million, and that of the U.S. was 341.8 million (whereas the respective states tended to cluster in the tens of millions). That works out to .0028% and .0023%, respectively. This may come as a surprise because in Europe, housing is more likely to be viewed as a right than in the United States.

Dan Jorgensen, the E.U. Commissioner for Energy and Housing (and the first such commissioner in E.U. history), said at the time of the Commission’s presentation of its proposal, “Housing is not just a commodity; it is a fundamental right. We must mobilise every euro and do everything in our power to make sure that in Europe everyone can afford a decent place to call home.”[3] In the U.S., the lax regulations on investor-speculators on houses, condos, and even apartment buildings evince a commodities-orientation to residential real-estate, whereas in the E.U. the homelessness problem may have more to do with insufficient supply rather than the salience of a political ideology favoring business or disfavoring the poor as deserving their plight.

I contend that permanent housing as a right is a better political ideology than is the business-commodity view of housing units both because being homeless takes such a terrible toll of the human psyche and because society should be obligated via the market or else the state to supply permanent housing because economic interdependence is endemic to a society as opposed to Hobbes’ state of nature, where life is short and brutish. Put another way, being in the state of nature in terms of housing while being in a society does not work because a society and a state of nature are mutually exclusive. 

It is inconsistent to insert, especially within city and even a town, even a slice of Hobbes' state of nature, whether in the form of sociopathic violent gangs for which law in south Chicago in Illinois is wholly disrespected, or homeless individuals in a town or city. Having the state of nature within a society is not like Yin being in Yang, and vice versa, in Chinese philosophy; rather, the state of nature inside a society contradicts the necessity that Kant argued is inherent to law, whether public or moral law. Furthermore, to tolerate homelessness within a society is like inserting a vice like vengeance into omnibenevolence—a point that Nietzsche makes in claiming that the Abrahamic deity is “dead” in the sense of having been discredited by being both vengeful and perfectly benevolent, which are incompatible with each other. Even though the effort to rid humans of vengeance is laudable, the cost in assigning the vice to God was surprisingly overlooked, and still is. Similarly, the utter incompatibility of homelessness and society is seldom recognized. 

By the end of 2025, it was well beyond time for the E.U.’s Commission to come up with a plan to rid the Union once and for all of the sordid plight of homelessness. Ridding Europeans of the constant, underlying existential angst that does not leave a mind that is subtly aware that homelessness could occur in the future can be expected to result in happier, more relaxed people and thus less interpersonal strife. It is indeed realistic that the E.U., together with the member-states, could together, as a shared competency, eliminate  the problem of homelessness in 2026 by relaxing state rules on whom can receive housing assistance (i.e., not just the very poor), using federal “European Social Housing” funds to get homeless people immediately into at least short-term housing (even hotels), and incentivizing the construction of more housing units to meet the demand, and even reducing housing prices and rents for everyone. The sordid commodity perspective in America would be exposed as severely flawed, as it reflects elected officials across that Union being in the campaign-financing pockets of private finance and business rather than looking out for, or protecting, all constituents from the horrible experience of being homeless. Just in virtue of being a human being—how we are hard-wired and how vulnerable the human brain or mind is to the incapacitating harm from severe, existential stress—something beyond short-term housing should be ensured unconditionally. How a human mind reacts to being homeless ought to justify the unconditional aspect, as those who do not work must wander around at all times and be subject to theft is a callous ideological belief.

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1. “What is Homelessness,” Feantsa, Feantsa.org (accessed 16 December 2025).
2. Lisa McKay and Kenneth Cowles, “Who Is Homeless in the United States? A 2025 Update,” The Federal Reserve Bank of Minneapolis, March 14, 2025.
3. Vincenzo Genovese, “EU to Revise State Aid Rules to Address bloc-wide Housing Crisis,” Euronews.com, 16 December 2025.

Public Policy on Housing in the E.U.: On the Impact on Federalism

With rents and the price of houses being historically high in 2024 in the E.U., it is no surprise that housing was a salient issue in the E.U. election campaigns that summer. Legislative action on the state level had been insufficient. Hence, President von der Leyen told the parliament, “I want this Commission to support people where it matters most, and if it matters to Europeans, it matters to Europe.”[1] The Union complementing legislative action by state governments on such an important issue is admittedly a step in the direction of solving an urgent problem, but the impact on the federal system in the future should not be ignored. As important as a pressing issue of the day is, someone should be keeping an eye on the shop itself. The gradual political consolidation of the U.S. federal system over more than two centuries at the expense of federalism is an example of what can happen when policy-makers are too oriented in putting out policy “brush fires” without bothering to ask how the federal system itself could be impacted.

To be sure, homelessness and high house prices and rents had become big problems by 2024. In 2023, an estimated 890,000 people were homeless in the E.U., while over 650,000 people were homeless in the U.S., out of total populations of almost 447 million and 336 million, respectively. Even though less than 1 million out of hundreds of millions looks minor, the trauma of being without a stable shelter, as well as the fear of losing one’s shelter due to a dire change in economic condition, argues in favor of housing being recognized as a human right that governments are obliged to supply where reliance on a market and personal income falls short. Put another way, the sort of existential angst that is triggered by homelessness and, to a much lesser though significant (yet subtle) degree, losing a job (or even knowing that it is possible) belongs in the state of nature rather than in civil society. Where the supply of available units of affordable (i.e., low-income, and no-income) housing is less than the number of homeless in a given geographical area, this argument suggests that government should see to it that the gap is filled. This is, of course, a normative argument, one that has been much more prevalient in the E.U. than in the U.S.

Generally speaking, government targets for new units tend to fall short of those that would be necessary to expunge actualized existential angst. In the E.U. state of Ireland, a local-government official bragged to a journalist in 2024 that the city government would reach its target, and the journalist pointed out that it is insufficient to eliminate homelessness in the city. Both in terms of being shy in having more affordable-housing units built and in standing up to hedge funds that are driving up house prices by buying up some as investment (and even by keeping some units vacant to increase the shortage), local governments have fallen short.

Besides spending money on the construction of new units, government can restrict the use of residential real estate for investment and even as small hotels (e.g. Airbnb). At least as long as homelessness exists, so this argument goes, shelter’s use for speculation is inconsistent with housing as a human right. To be sure, the moneyed interests in a society can be hard for democratically-elected representatives to resist even when a significant number of people are paralyzed by existential angst.  

Not going nearly so far but signaling a shift in societal and governmental priorities, President von der Leyen of the European Commission set up her second portfolio, or term of office, in the summer of 2024 by stressing “the urgency of tackling the housing crisis, proposing the first-ever European affordable housing plan and a commissioner responsible for the policy area, as the Socialists had demanded as a condition for backing her second term.”[2] At the time, “a significant investment gap in social and affordable housing” existed in the Union.[3] In addition to there being the homeless, people were “struggling to find affordable homes,” von der Leyen said at the mid-July plenary in Strasbourg.[4] “Between 2010 and the end of 2023, average rents in the E.U. increased by almost 23% and house prices by nearly 48%, leading to protests in cities.”[5] The general economic interest was being negatively impaired by the housing- (and food-) led cost of living increases.

The E.U. being a federal system of dual sovereignty, like the U.S., von der Leyen had to contend with the “limited competency” of the E.U. in housing; by this I do not mean incompetence. Rather, the federal and state levels could both legislate in housing. Because the states could “only use public funds to target the most vulnerable groups,” space was open for the federal government to legislate to bring the cost of housing down. In other words, the states were oriented to the homeless problem, which arguably represents a greater, or more severe harm in society, so the Union’s activity on the wider problem of high rental and house markets would not usurp the residual sovereignty of the state governments.

This is not to trivialize the problem of high housing markets, whether in California or Ireland. “In terms of state aid [at the federal level], we would like to see the recognition of social and affordable housing for all—beyond disadvantaged groups or social groups with fewer opportunities—as a service of general economic interest,” said Christophe Rouillon, president of the PES group in the European Committee of the Regions (CoR).[6] The scope not only of the problem, but also of the legislative means, or power, is such that this “limited competency” of the Union could have a significant impact on shifting more power from the states to the Union. “The E.U. can influence housing through financial regulation, competition law, energy efficiency, regulatory and planning standards, cohesion policy, climate action, urban/rural and social policies,” Rouillon stated.

The impact of federalism should not be lost on policy makers both at the federal and state level even though the primary focus is on the policy issues (i.e., homelessness and high real estate markets). In reaching a fever pitch of societal displeasure, these issues may give us a glimpse into how modern federal systems, which are characterized by split (or dual) governmental sovereignty, tend to consolidate power at the federal level at the expense of the state governments over time. Europeans would be wise to think about whether the E.U., just over 30 years old in 2024, would be as consolidated at the U.S. in 2024 after more than two-hundred more years. Both unions being of vast territorial expanse in 2024, such that states in each union can differ from one another in the same union so much that “one size does not fit all” in public policies, political consolidation comes with significant drawbacks. Additionally, the “check and balance” feature of federalism is rendered inoperative when a federal government has so much power that the state governments cannot counter-balance it. The question of whether the E.U. might end up as consolidated politically as the U.S. is thus not at all trivial.

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1. Paula Soler, “Von der Leyen Promised an EU Commissioner to Tackle the Housing Crisis,” Euronews, August 13, 2024.
2. Ibid.
3. Ibid. For those readers who feel the need to substitute “bloc” for “Union,” there is help.
4. Ibid.
5. Ibid.
6. Ibid.

On the Supply and Demand in Housing Markets: Rent Control in California

In February, 2019, Oregon’s legislature passed rent-control legislation limiting rent increases to 7% annually plus inflation. New York’s legislature strengthened the existing local rent-control regulations in New York City. Roughly six months later, California’s legislature passed rent-control legislation limiting annual rent increases to 5% after inflation and strengthening other tenant protections.[1] Not even the largest landlord group and the California Business Roundtable had opposed the legislation in spite of the fact that rent-control even as a concept flies in the face of the free-market ideology that has been so popular in America. Indeed, economists “from both the left and the right have a well-established aversion to rent control, arguing that such policies ignore the message of rising prices, which is to build more housing.”[2] Accordingly, only four of the American states (and Washington, D.C.) had some kind of local rent-control. So what accounts for the rent-control fever that had taken hold in 2019? I want to point to the immediate context then in California, and then to a more theoretical explanation that calls for distinguishing shelter from real-estate investing.

California’s poverty rate of 18.2% was at the time the highest in the United States. San Francisco’s homeless population had increased by 17% since 2017, while homelessness in Los Angeles had increased by 16% since 2018.[3] Homelessness had become a dominant issue politically. Voters had approved “several multibillion-dollar programs to build shelters and subsidized housing.”[4] Assemblyman David Chiu, author of the rent-control legislation, said of the homeless problem, “Protecting tenants is a critical and obvious component of any strategy to address this.”[5] Dampening the fear of displacement was part of this protection. With homelessness at epic proportions and housing markets continuing to rise in many urban areas, the fear could easily become unpalatable particularly for middle-class renters. In other words, a source of instability that renters can typically overlook had become so acute in California that reducing the fear was included in the rationale for the legislation.

More theoretically, the fear a person naturally has at some level of losing his or her shelter without being able to move to another is a byproduct of subjecting housing to an unobstructed market-mechanism. Where laissez-faire capitalism is especially revered, the fear is accepted as a fact of life even though it is not a fact of life in societies in which a safety-net includes housing. Moreover, there is no guarantee that an equilibrium in a given rental market is in line with every resident having shelter. In fact, as many of the California rental markets demonstrated especially in the years leading up to 2019, rising demand does not necessarily translate into enough of an increase in supply. The 7% plus inflation increase allowed in the rent-control legislation was in part intended to encourage more supply. Yet even so, the government had increased spending on subsidized housing. In short, a rising housing market acts on demand and supply in such a way that homelessness can increase; even efforts by government to add to supply (e.g. subsidized housing) may fall short.

Perhaps as in the case of health insurance wherein the U.S. Government used subsidies to see that the poor and middle class have had access to medical care while wealthier Americans could by premium health-insurance on the free market, the matter of shelter could be distinguished from that of real estate; the supply of basic shelter would not be “decided” by a market-mechanism, but by how many people (e.g., homeless) need shelter. Homeless men and woman whose health warrants supervision could be accommodated by group homes or assisted living apartment complexes. The wealthy could still play the housing market, treating houses as commodities. The distinction between shelter and a commodity makes it easier to understand why and how the fear of displacement can be so salient as in California in 2019. The market mechanism is incompatible with shelter viewed as a human right (therefore sans fear).

In summary, both the homeless crisis coming to a head in San Francisco and Los Angeles in 2019 and the incompatibility of shelter and the market mechanism can explain why California’s government took action on rent-control even though it would not solve the homeless problem. For that to occur, the government as well as non-profits and even businesses (e.g., CSR) would need to step in such that the supply would be sufficient to house the demand even apart from ability to pay full rent.  In other words, I submit that shelter in an interdependent society (rather than the state of nature) can be unconditional, in contradistinction to investment in real estate. The fear of displacement alone points to the incompatibility of shelter and conditionality (i.e., the market mechanism); so too did the extent of homelessness in California. Clearly, replying on a market-equilibrium, even if without realizing it, had given rise to severe distortions.

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[1] Conor Dougherty and Luis Ferré-Sadurni, “California Approves Statewide Rent Control to Ease Housing Crisis,” The New York Times, September 12, 2019.

[2] Ibid.

[3] Ibid.

[4] Ibid.

[5] Ibid.

Homeless “Campers” Starting Wildfires: Outside the Social Contract

Nederland, Colorado. A town in Boulder County that had embraced marijuana dispensaries for profit, found itself just outside a wildfire that burned 600 acres in July, 2016. Two homeless men were charged with fourth-degree arson for failing to put out their camp fire. The townsfolk reacted in anger, pointing to the increasing number of homeless people in the nearby national forest. Officials had been forced to deal with “more emergency calls, drug overdoses, illegal fires and trash piles deep in the woods.”[1] Some residents urged the U.S. Forest Service to crack down on the homeless by imposing tighter rules on camping, or banning it altogether in certain parts of the woods most popular with the homeless. An analysis drawing on the political philosophy of Thomas Hobbes, a seventeenth-century English philosopher can be employed to reveal a broader perspective on the problem.

In his masterpiece, Leviathan, Hobbes theorizes that people in the state of nature once made a social contract wherein they ceded their political freedom to a sovereign, who could forestall civil strife and war. Self-preservation is the dominate motive here. In agreeing to give up some freedom to a system of laws and police, agreeing to be bound by them, people believe themselves more likely to survive.

Social-contract theory more generally is not limited to the political dimension. In living in society, people agree to give up some of their economic self-sufficiency that comes from living off the land. Economic interdependence comes from specialization of labor, trade, and even the use of money. In an economy, people are interrelating parts rather than being wholly self-sufficient. As recessions and the loss of particular industries demonstrate, being a part in an economy is not necessarily best for a person’s self-preservation.

Therefore, it is hardly surprising that people for whom the socio-economy—a system of interdependence—does not make self-preservation more assured would head to a forest to live off the land. The homeless in the national forest near Nederland can hardly be blamed for doing what is necessary to survive. Hobbes maintained that people have the right (of self-preservation) to fight off execution even though the punishment is issued by a sovereign who rightly holds all political (and theological) power.

To be sure, a state of nature in a forest located next to a modern society may be inherently problematic. That one homeless man camping long-term in the national forest outside of Nederland asked a forest official when the trash would be picked up points to the problems entailed—problems that would not exist were we all in the state of nature. If modern society can no longer tolerate people living in the state of nature, then places must be found for the extricated humans within the socio-political economy consistent with their self-preservation.

In the E.U., the operative principle is solidarity. Social policy is the typical means by which governments implement the principle wherein self-preservation is taken to be a human right that a society is obligated to protect. In the U.S., the principle is scant—eclipsed perhaps by that of economic liberty within interdependence. Hence, the safety net within American society has gaps. It is only natural for people falling through them—for whatever reason—to seek self-preservation outside of society. It is also natural for people accustomed to the safety in society to fear the human landscape outside of society, where liberties given up in society are taken back up. These liberties are feared by the people in society as they have given them up in exchange for safety. Therefore, we can see, using Hobbes’ theory, that it is in the interest of the residents of Nederland to petition the government of Colorado to accommodate the forest people back in society rather than continue to fight their nearby presence by pushing them further away from society.

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1. Jack Healy, “As Homeless Find Refuge in Forests, ‘Anger is Palpable’ in Nearby Towns,” The New York Times, August 21, 2016.

Homelessness in the U.S.: A Reflection of American Values

According to a report by the National Center on Family Homelessness in 2014, nearly 2.5 million American children were homeless at some point in 2013.[1] The U.S. Department of Education had reported that 1.3 million homeless children were going to school. California, which accounted for one-eighth of the U.S. population at the time, had one-fifth of the 2.5 million, which comes out to nearly 527,000. The relatively high cost of living and shortage of low-income housing, along with a largely stagnant minimum wage, are the more visible factors behind the gap.

The full essay is at "Homelessness in the U.S."

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1. David Crary and Lisa Leff, “Number of Homeless Children in America Surges to All-Time High: Report,” The Associated Press, November 17, 2014.