The typical false-wise answer to the housing crisis is something like "build more housing, supply & demand, read an Econ 101 textbook, DUH." The reality is mor

The typical false-wise answer to the housing crisis is something like "build more housing, supply & demand, read an Econ 101 textbook, DUH." The reality is more complex. The real Economics 101 answer is: You can't know the effect of more supply on prices without knowing the demand curve. No one truly knows that, but consider this. The current market price is basically what a startup employee can support on their salary without kids, much savings, etc. If there's a large supply of people willing to move into SF for jobs like this and pay that price, but unable to pay more, then that whole worldwide supply needs to be exhausted before the market price comes down. That could take years or even decades depending on how the startup boom goes. In the meantime, the macroeconomic effects of widespread losses in housing for blue collar, service industry workers, the middle class, artists, etc. can have very undesirable long term effects on a city. There is good reason for city governments to consider managing this growth.