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More housing doesn't create demand, the city's economy creates demand. This is exactly why people have kept pouring into NYC and SF over the last few decades wh
by paxys 3y ago
More housing doesn't create demand, the city's economy creates demand. This is exactly why people have kept pouring into NYC and SF over the last few decades while the rate of new construction has slowed down to a crawl and nothing is affordable.
- jjav 3y ago> More housing doesn't create demand, the city's economy creates demand. I doubt there is a simple one-way causation, it's a feedback loop. The economy of a city only grows if more and more people and businesses move in, which means more housing and density which in turn grows the economy and prices even more. Is there any example of a city where housing was quite expensive and over time housing became cheap merely by building more of it, while still remaining a thriving city? As far as I can see, once a city is thriving and expensive it only becomes cheap through economic collapse (e.g. Detroit) which isn't the solution anyone wanted.