> The US has a federal minimum wage of $7.25/hr. This isn't a comparison with the 3rd world, this is a comparison with civilised, livable and comfortable lifestyles in other US cities.

There is no where in this country where $7.25 is a liveable, comfortable wage. It is the lowest amount legally allowed. And very few work for that wage - and very few of them are independent adults. See [1]. Nowhere in the United States can a minimum wage worker (or even close to it) affording the average 2 br apartment (say, if they had kids); and there are only a few places in the country where someone working 40 hrs / week on minimum wage can afford a 1 br apartment [2].

> It is obvious that the cost of living is a relevant factor. The question is why are the costs of living higher in California than elsewhere? It isn't because rich people exist. It is because California doesn't have enough houses for the marginal house-hunter.

I hope the above mentioned points make it clear that this is not a problem just in California, but nationwide. Which means wages are insufficient nationwide and cost of living is too high nationwide.

> Paying the marginal buyer more isn't going to create more houses. If there wasn't a place for them to rent before, there still won't be when you pay them more. If it were possible to create more houses, the current prices would already be making it happen.

I'm going to assume you're arguing in good faith here and respectfully disagree. The problem isn't that there aren't homes for them to buy or rent; the problem is that those homes and rentals are at too high a price. At $20/hr maybe they can afford to live in .5% of available rental units; and at $30/hr maybe they could afford 5%. That's a tenfold increase in potential living spaces, without those living spaces becoming more affordable.

Yes, the other issues in the bay area exist, with the NIMBYism and such. But these problems still exist nationwide. There are a few potential ways for government to help solve this issue. The main ways (hopefully I didn't miss any obvious ones) are: increase minimum wage or average wages via law or other influence; increase taxes on home ownership, especially for non-residents; introduce rent control laws; provide incentives for and remove obstruction from building new construction, especially high density construction.

1. https://www.bls.gov/opub/reports/minimum-wage/2017/home.htm 2. https://www.citylab.com/equity/2019/06/affordable-housing-mi...