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Culture War Roundup for the week of January 9, 2023

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The problem is a lot of people want to live in or near central london or wherever, but there are too few houses for them.

Let's say that supply increases significantly, but a lot of people want to live in or near central london at prices slightly below the current price. So price decreases a small amount, a lot of new homes are purchased at that small price, but not much else changes. The basic supply and demand theory is that some number of 'people want to live in london' at specific price points - but if the price elasticity of demand is very high, price might not decrease much. This is the 'induced demand' problem with roads - add a lot more lanes, a lot of people who weren't willing to drive at current congestion are now willing to drive at slightly less congestion, so congestion barely decreases.

A congested 10 lane highway is helping twice as many people reach their destination as a congested 5 lane highway. So it sounds like the main problem is that we didn't add enough lanes.

At least for lanes, one does run out of room eventually.

I have no idea how this applies to cities, and if cities are as useful as people bid their prices up to be, then a large amount of construction in cities that's quickly filled at a slightly lower price does benefit those people, even if prices aren't lowered.