Some people, such as YIMBYs, advocate building lots more housing in San Francisco. Their basic argument is:
Housing in SF is the priciest in the country, with the average one bedroom apartment renting for over $3,000 per month (compared to the nationwide average of $1,200.)
The main reason rents are so high is because the supply of housing has been artificially restricted — new developments are constantly getting blocked by land use regulations and neighborhood associations. Meanwhile, demand to live in SF continues to rise. And since supply is not keeping pace, rents go up, as a growing number of would-be tenants outbid each other for the limited housing available.
Therefore, it’s important that we find a way to increase the rate at which we’re building new housing in SF, or it will be a city in which only the rich can afford to live.
I’ve been trying to understand why others are critical of this argument. I think there are three main areas of disagreement between what I’ll call the advocates and the critics, and I’ll briefly explain each in turn. (Note that I’m trying to present the strongest version of each argument, which may be different from the most common version.)… (more)