State and local governments restrict the supply side of the short-term rental market by blocking individuals from using services like Airbnb, but less noticed are the restrictions these governments also place on the demand side, argues ITIF’s Daniel Castro in the July/August 2017 Government Technology. Banning government employees from using short-term rentals on official travel doesn’t just hurt taxpayers; it also signals state and local governments’ broader reluctance to embrace new innovations.