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There's the opposite myth that abounds too -- that building "luxury" housing is the silver bullet that will make housing affordable. The reality is that even l

There's the opposite myth that abounds too -- that building "luxury" housing is the silver bullet that will make housing affordable. The reality is that even loosening zoning laws to pure anarchy will not make a big enough impact on supply vs demand to make housing as affordable as the government mandated affordable housing lottery creates. And the other reality that rarely gets discussed is that the city's ancillary infrastructure: water/sewage/police/transportation/EMT/fire -- must be accounted for with every additional housing unit. But it's all just supply and demand, right? Just add more supply and everything will be okay? San Francisco does not want to be Hong Kong. San Francisco does not want to be Manhattan. What people actually want for their city -- that is, the desires of the people that already live there -- will always trump the demands of people who wish they could live there. But, alas, the Econ 101 meme is too convenient not to endure in every discussion.

twblalock 10y ago
The econ 101 meme is convenient because it is true, and because it is very obvious that many people involved in the discussion don't understand economics. > San Francisco does not want to be Hong Kong. San Francisco does not want to be Manhattan. What people actually want for their city -- that is, the desires of the people that already live there -- will always trump the demands of people who wish they could live there. The people who live there are getting what they voted for -- restrictive housing policies and rent control. The voters caused this situation. They just don't understand enough about econ 101 to realize it. If they did, they would change their minds. People want to move to SF, and bring their money and their labor power with them, and nobody can or should prevent that -- most cities would welcome that kind of investment. The city can accommodate their need for housing, or not. If the city does not accommodate the newcomers' need for housing, it is the existing residents who will suffer most, because the newcomers are generally richer than the existing residents and are better able to compete for housing.
- khuey 10y ago
  Moreover, in the zero sum market that the SF housing market has been turned into, the newcomers have to be richer that some of the existing residents almost by definition. How else would they be able to move to San Francisco?

twblalock 10y ago

The econ 101 meme is convenient because it is true, and because it is very obvious that many people involved in the discussion don't understand economics. > San Francisco does not want to be Hong Kong. San Francisco does not want to be Manhattan. What people actually want for their city -- that is, the desires of the people that already live there -- will always trump the demands of people who wish they could live there. The people who live there are getting what they voted for -- restrictive housing policies and rent control. The voters caused this situation. They just don't understand enough about econ 101 to realize it. If they did, they would change their minds. People want to move to SF, and bring their money and their labor power with them, and nobody can or should prevent that -- most cities would welcome that kind of investment. The city can accommodate their need for housing, or not. If the city does not accommodate the newcomers' need for housing, it is the existing residents who will suffer most, because the newcomers are generally richer than the existing residents and are better able to compete for housing.

khuey 10y ago
Moreover, in the zero sum market that the SF housing market has been turned into, the newcomers have to be richer that some of the existing residents almost by definition. How else would they be able to move to San Francisco?