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Facebook didn't make the area expensive. No tech company did. Those local businesses, and the chains alike, have made it expensive. So much blame gets put on

Facebook didn't make the area expensive. No tech company did. Those local businesses, and the chains alike, have made it expensive. So much blame gets put on the tech companies, but the tech companies aren't raising the prices, they are just paying people better, and the local businesses abuse that to the fullest extent. There is no NEED to charge $6 for a gallon of milk, when milk from those same cows is sold for $2 50 miles away... thats not a SV valley tech company problem, its a SV valley retailer problem, and the blame needs to shift that way... [edited because splellings]

dgacmu 9y ago
> Facebook didn't make the area expensive. No tech company did. Those local businesses, and the chains alike, have made it expensive. So much blame gets put on the tech companies, but the tech companies aren't raising the prices, they are just paying people better, and the local businesses abuse that to the fullest extent. There is no NEED to charge $6 for a gallon of milk, when milk from those same cows is sold for $2 50 miles away... thats not a SV valley tech company problem, its a SV valley retailer problem, and the blame needs to shift that way... You're attacking a false target. Buying food in the bay area isn't expensive. Rent and housing is expensive. There's a great Costco in mountain view that charges the same prices as Costco most other places. Similar for other grocery options. When I lived there last year, our food bills were comparable to living in Pittsburgh. Our rent on a 3br/1ba house, not renovated since 1956, with a portable dishwasher in the garage... was 50% more than my mortgage is in Pittsburgh for a decent size house in a lovely little neighborhood 3/4 of a mile from my work. It was rather shocking. It's a combination of high salaries and crappy housing policy leading to an explosion in property costs.
- Domenic_S 9y ago
  > Buying food in the bay area isn't expensive. Yeah, I found that to be pretty much true. Of course there are plenty more options (organic/natural/raw) if you WANT to spend more, but no intrinsic cost increase. But there are a lot of marginal cost increases in the Bay vs other places. Car insurance is more expensive. Gas is more expensive. Simple one-offs (like oil changes) are more expensive. You're more likely to eat out because of the brutal commute times. Etc.
digitalneal 9y ago
Your assumption is the "local businesses" own their property. I don't know many small grocery chains that own their lots. "All boats rise with the tide". High demand for residential means commercial and industrial zoned lots will also increase in value/rent/lease.
accountyaccount 9y ago
That's very very backwards. Local business are charging $6 for milk because they have to make enough profit to pay rent. The soaring rent is absolutely due to high-salary tech work; the bay area existed for decades without these significant rent issues.
euyyn 9y ago
If those retailers could do market segmentation, to sell the milk for $6 to software engineers and for $2 to cafeteria workers, they'd do it.

dgacmu 9y ago

> Facebook didn't make the area expensive. No tech company did. Those local businesses, and the chains alike, have made it expensive. So much blame gets put on the tech companies, but the tech companies aren't raising the prices, they are just paying people better, and the local businesses abuse that to the fullest extent. There is no NEED to charge $6 for a gallon of milk, when milk from those same cows is sold for $2 50 miles away... thats not a SV valley tech company problem, its a SV valley retailer problem, and the blame needs to shift that way... You're attacking a false target. Buying food in the bay area isn't expensive. Rent and housing is expensive. There's a great Costco in mountain view that charges the same prices as Costco most other places. Similar for other grocery options. When I lived there last year, our food bills were comparable to living in Pittsburgh. Our rent on a 3br/1ba house, not renovated since 1956, with a portable dishwasher in the garage... was 50% more than my mortgage is in Pittsburgh for a decent size house in a lovely little neighborhood 3/4 of a mile from my work. It was rather shocking. It's a combination of high salaries and crappy housing policy leading to an explosion in property costs.

Domenic_S 9y ago
> Buying food in the bay area isn't expensive. Yeah, I found that to be pretty much true. Of course there are plenty more options (organic/natural/raw) if you WANT to spend more, but no intrinsic cost increase. But there are a lot of marginal cost increases in the Bay vs other places. Car insurance is more expensive. Gas is more expensive. Simple one-offs (like oil changes) are more expensive. You're more likely to eat out because of the brutal commute times. Etc.

digitalneal 9y ago

Your assumption is the "local businesses" own their property. I don't know many small grocery chains that own their lots. "All boats rise with the tide". High demand for residential means commercial and industrial zoned lots will also increase in value/rent/lease.

accountyaccount 9y ago

That's very very backwards. Local business are charging $6 for milk because they have to make enough profit to pay rent. The soaring rent is absolutely due to high-salary tech work; the bay area existed for decades without these significant rent issues.

euyyn 9y ago

If those retailers could do market segmentation, to sell the milk for $6 to software engineers and for $2 to cafeteria workers, they'd do it.