More supply proportional to jobs increases affordability

Supply_and_demand_slide_2016_05_10

Sometimes people assert that it is impossible to add enough housing to preserve affordability when an area is growing.  That is far from reality: job growth predicts inflow- and outflow- of people very well, so adding housing proportionally to job growth (or not)  can do a lot for increasing (or decreasing) affordability,  as data from three high-growth areas shows.

Direct link/download: https://realitybasedhousingdotorg.files.wordpress.com/2016/05/supply_and_demand_slide_2016_05_10.jpg

Links to the sources:

http://htaindex.cnt.org/map/

http://www.census.gov/construction/bps/msaannual.html

http://lehd.ces.census.gov/

 

 

 

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3 thoughts on “More supply proportional to jobs increases affordability

  1. Super interesting analysis. How labor intensive was the work? Just wondering if this would be easy to replicate for more cities to build an even stronger case, so that NIMBYs can’t just throw around a casual ‘correlation is not causation’

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    1. It was manual – click, download, paste into Excel – but not hard, if that makes sense.

      Meaning that each source offers a decent web interface to pick a city and a metric, but not a bulk API (at least that I saw as easy to do) to get a full dataset in one go.

      I’d guess someone could “add another couple cities” in 15 minutes once you know the drill – but the flip side is that means trying to do something like “all MSAs” would be a pain.

      (I realize the links don’t work in the image – edited the post to add links to the sources.)

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      1. Gotcha, awesome! I’m going to be citing you in an upcoming post (probably in a couple of weeks) about how to make gentrification a more positive force and avoid people being driven out by rising rents. Just occurs to me, I might as well ask – let me know if that sounds interesting to you and you might want to collaborate, drop me a line and we can talk about it.

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