"building new housing doesn't really drive the prices down" there is a lot of empirical evidence against this claim, and almost no evidence for it. Rising costs in cities are due to a few factors: (1) lack of new housing, (2) changing economic conditions in which high paying jobs are moving from the suburbs to the cities (to be fair, there is a small factor in very few cities of super rich people buying housing and not living in it, but that is largely confined to Manhattan, London, and suburban Vancouver, but is not broadly an issue in housing affordability) From after WWII through the 80s, American cities were largely in this strange largely racism induced recession (white flight to the suburbs) which caused a historical aberration of cheap housing and commercial space in cities. That trend was a very short counter trend blip in the 5000 year history of real estate in cities. The way forward is to build a lot more housing in cities, as its eminently clear that lots of people want to live in them, that living in cities is better for the environment than the alternative, and that our economy would be doing much better if the desired urbanization was actually allowed.
I love cities, think they are great, and live in the Bay Area myself. I don't know how old you are, but much of the flight to suburbs was due to the building of freeways and the fear of nuclear attack on cities. Younger people did not grow up with bomb shelters and duck and cover drills at schools, so living in a big city is not something they fear. If we have a nuke or two blow up a few cities today, there might be flight out of the cities once again. I sure hope that doesn't happen.
White people didn't leave cities because of the threat of nuclear attacks, they left because there was an incredible amount of racial unrest, violence, and rioting. There is a lot of research on the issue [0].
Climate change is a much larger threat to anyone under 30 than nuclear annihilation is, and the balance of evidence we have says that urban lifestyles (car free/car light, living in a multi family home) has a smaller carbon footprint than traditional suburban living.
How would you possibly be able to estimate the probability of nuclear annihilation? There are 13,000 nuclear warheads ready to launch on a minutes notice.
I agree with you that on aggregate across most cities all of this holds, but it's not alway the case for top cities like SF and NYC, where the true demand is way higher than potential supply.
I'm not a NIMBY type and am not complaining about gentrification but am speaking to the fact that building new housing in Williamsburg and LIC helped double average housing prices in the surrounding areas [1]. I used to hang out in williamsburg in the late 90s and early 2000s, when it was an industrial area and bushwick when it was a complete dump. All of the yuppies who live here now would have never stepped a foot in brooklyn/queens if these areas weren't rezoned. I live in Greenpoint now and pay over 3x more than my grandmother used to pay for a similar apartment 2 blocks away from the early 90s till late 2000s.
We should definitely build more housing, but we also need to admit that rising income inequality is the real problem here. A large portion of our country has not seen their wages grow and are a medical emergency away from living on the streets. SV is home to worlds most valuable companies, it might be time for them to start paying their taxes so we can provide a safety net for people who need it like every other developed nation.
