Evaluate the likely microeconomic effects of government intervention in the UK housing market.

Impacts of the government building houses (direct provision):changing property prices (falling) not good for home owners. There may be a fall in the rental market from this.The purpose of this government intervention is to correct a market failure of housing shortages and affordabilityuse data from figure to show housing supply increasingEnvironmental impacts, less green areasIncrease in demand for housing appliances (people buy new things for their homes)Example Evaluation points:It depends on the size of the government intervention (e.g spending or taxation)the impacts vary in the short run and long runthere is a large opportunity cost to the government e.g could be spent on educationThere may be environmental impacts