A friend of mine (Jimmy Tate) just emailed me an article that offers a very unique perspective on the housing prices in Palo Alto. It’s by Thomas Sowell and it’s called “Diversity” for Thee, Not Me. Here’s an excerpt:
Because housing prices are so high in Palo Alto — and up and down the whole San Francisco peninsula.
This is not due to supply and demand in a free market. It is largely due to rich busybodies who have promoted severe restrictions on the building of housing under a variety of high-sounding names like “open space” or “environmental protection.” I don’t begrudge such people the inheritances that have allowed them to live their whole lives without ever having to lift a finger to support themselves. But it is galling that they are imposing huge costs on hundreds of thousands of other people who have to work for a living.
Anyway, I found it interesting. I do think he overstates the case somewhat (there is a huge demand), but he’s correct that the supply has been artificially supressed. Food for thought.