> You build as much new housing as you can afford to, and let older housing filter down to "affordable" levels. The question is what sort of housing you build.

> You build as much new housing as you can afford to, and let older housing filter down to "affordable" levels. The question is what sort of housing you build. You have a piece of dirt ready to be developed or re-developed. You can put there a mansion which will house one family with enough garden to picnic a whole village and still have space to land a helicopter. Or you can build four detached homes with plenty of garden at the same place. Or you can build two 3-story buildings with 6 flats each and have space for a small comunal park between them. And we can’t say that the market should figure out what kind of houses should be built, because we already have tax laws, and building codes, and etc which heavily influences what kind of building gets built. The question is not “should we put our finger on the scale” but “which direction should said finger push”?