I would argue California has a huge Somebody Else's Problem field. Much of California public services are provided by local taxes. I'm not sure about Japan, b

I would argue California has a huge Somebody Else's Problem field. Much of California public services are provided by local taxes. I'm not sure about Japan, but if it's anything like Canada then much of it provided at the state or federal level. Add in things like Prop 13, "Pay for government?! That's Somebody Else's Problem", and you end up with huge incentives to externalize your costs. Schools are cheap if all your workers live somewhere else. Low-income assistance is easy if the cheapest place to live is $2000/month for a room-share. Most of the local legislators are home owners and decreasing costs by increasing supply will directly hurt them and their paper gains.