> Build enough market rate housing that the price falls to what low income people can afford and you don't need any low income housing.
There are other kind of problems like buy-to-leave (http://www.designingbuildings.co.uk/wiki/Buy_to_leave).
In that scenario the amount of housing to build to get to a point that it is affordable is a lot higher than it should be.
> subsidizing construction
If you mean state owned properties. I agree on that. Having low rent housing competing in the market bring prices down. But the number should be significant enough. Otherwise it just becomes a lottery where a few win but has not broader impact in the market.
> subsidizing construction If you mean state owned properties. I agree on that. Having low rent housing competing in the market bring prices down. But the number should be significant enough. Otherwise it just becomes a lottery where a few win but has not broader impact in the market.