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It’s a feedback loop. Prices in the Valley weren’t always crazy high, they were just higher than normal for many decades. Then Valley tech companies started g
by xienze 7y ago
It’s a feedback loop. Prices in the Valley weren’t always crazy high, they were just higher than normal for many decades. Then Valley tech companies started getting in a pissing contest with each other to get “the best talent”, driving salaries higher and higher, thus attracting more people, driving housing prices up. Companies continue driving salaries up to convince people that they could afford to live and work there. And on and on...
- JoeAltmaier 7y agoI'm not sure conspiracy theories are sound economic analysis. How about, population rose but land area stayed the same. All the land got developed (it used to be orchards, remember?) so the only way to get more land for housing was, to pay more for existing plots. So the prices go up. No need to imagine a class of evil plotters, trying to make everyone sad.