The effect is merely a re-allocation of the stock of housing (at...

The effect is merely a re-allocation of the stock of housing (at the margin, to boot) but does not address the fundamental supply-demand imbalance.

It causes no change to the thing that's needed, namely the availability of rooms in which the citizens are able to lay their weary heads at the end of their working day.

Economic maxim: If the demand curve for an economic good (in this case residential property) keeps moving to the right, unless the supply curve responds accordingly, the equilibrium price for that good rises.

The lack of understanding of supply-side economic principles is a feature of the plutocracy today.

.