I am a progressive government. The free market has failed to provide a necessary service. So now I pass a law that creates a not for profit contractor that builds houses. It’s not that complicated. We do it with fire departments, police, and many other services already. Free market might have been more efficient theoretically, but when it fails in practice we find another solution.

Are you implying that landlords are naturally incentivized to build homes? Because in most circumstances, the exact opposite is true. In the U.S., the government has a number of programs that offer landlords vouchers in order to encourage them to build out more homes.

Indeed, a critical problem. But wait ... what's that? You say there are places where the state builds housing? How could it be?

Of course there is an incentive to build housing. Developers build homes and then sell them to people who live in those homes.

Did you just imply that landlords are incentivised to build housing for a growing population?! * scream laughs *