AI has been a major factor in computers for the past 2-3 years. The Left has decided to blame AI for their policies of union only, high fees, high taxes, costly regulations, etc. for the past twenty years. Are they dumb or are they just liars that have been caught, once again?
“California politicians can’t keep reservoirs filled, get fire hydrants to work correctly, get home permits in the Pacific Palisades approved, keep gas prices low, or deal with the homelessness crisis, but now they claim they are going to control rent prices.
A new letter, released by a group of 18 California professors, AI experts, economists, and civil rights activists warns legislators that their efforts are doomed to fail.
According to CBS News, rental prices jumped 30.4 percent nationwide between 2019 and 2023. The double-digit spike can and should be attributed to the pandemic, related inflationary spending, unmitigated immigration, and federal and state policies impacting housing affordability and availability.”
This is so stupid to blame AI that the public may finally realize the problem is government—and has been for years. Will we now see on a local basis the transformation of politics, like we have nationally?
CA Democrats are Blaming AI for Inflated Rent Prices Instead of Themselves
‘Dallas and Phoenix have lower rental prices than San Francisco and Los Angeles even though they have more property owners using this software’
By Megan Barth, California Globe, 6/3/25 https://californiaglobe.com/fr/ca-democrats-are-blaming-ai-for-inflated-rent-prices-instead-of-themselves/
California politicians can’t keep reservoirs filled, get fire hydrants to work correctly, get home permits in the Pacific Palisades approved, keep gas prices low, or deal with the homelessness crisis, but now they claim they are going to control rent prices.
A new letter, released by a group of 18 California professors, AI experts, economists, and civil rights activists warns legislators that their efforts are doomed to fail.
According to CBS News, rental prices jumped 30.4 percent nationwide between 2019 and 2023. The double-digit spike can and should be attributed to the pandemic, related inflationary spending, unmitigated immigration, and federal and state policies impacting housing affordability and availability. However, California’s Democratic lawmakers and the former Biden administration blamed artificial intelligence and “greedy” landlords for this inflation.
In August 2024, President Biden’s Department of Justice filed a civil antitrust lawsuit against Texas-based Real Page Inc. to “end RealPage’s illegal conduct and restore competition for the benefit of renters” claiming that “RealPage’s egregious, anticompetitive conduct allows landlords to undermine fair pricing and limit housing options while stifling necessary competition,”
Real Page’s software provides daily pricing recommendations to assist landlords, arguing that the software’s recommendations can encourage landlords to adjust rents to maximize revenue and maintain high occupancy. AI software, used for over a decade in the rental housing market, factors in market trends, competition, and upcoming vacancies to suggest pricing strategies. It’s no different from using Redfin to determine how to price your home or the Kelley Blue Book for your car.
In August 2024, San Francisco was the first city in the U.S. to ban the software; the City of Berkley soon followed, and last month, the San Diego city council instituted the ban.
The ordinance was introduced by San Diego City Councilman Sean Elo-Rivera, who claimed that the software was rigging the system in favor of landlords against tenants. “It’s a rigged system,” Council member Elo-Rivera told CBS 8. “We know that these companies are able to coordinate with one another via the software to keep prices artificially high, and sometimes even receive coaching from the software, the platform that says, don’t negotiate, leave units vacant if necessary, to keep these prices high.”
In an open letter California lawmakers, the California Attorney General, the City of Berkeley, the City of San Diego, the City of San Francisco, and members of the California State Legislature (see below), professors, economists, and legal professionals are urging state lawmakers to reconsider their push to outlaw rent pricing estimation software, noting, “California’s incredible housing costs stem from persistent supply constraints, excessive permitting and regulatory barriers, and inflationary fiscal policies, not digital tools that provide transparency and consistency in pricing.
They further argue: “Too few providers of rental units use such software for it to provide monopoly or collusive power. Further, whether a city uses algorithmic software does not explain whether its rental prices are higher. As one analyst noted, cities such as Dallas and Phoenix have lower rental prices than San Francisco and Los Angeles even though they have more property owners using this software.”
“Rather than undermine tools that improve efficiency and fairness for both renters and property managers, we urge you to focus on the root causes of California’s affordability crisis. That means stopping inflationary policies and instituting pro-growth policies —including zoning reform, streamlining of building approvals, expansion of by-right housing construction, and infrastructure investment to support new development, etc.”
On Thursday, Colorado Governor Jared Polis, a Democrat, vetoed similar legislation in his state under the understanding that these AI pricing tools are not to blame. Whether California lawmakers will follow his lead and instead focus on implementing the solutions outlined in the signatories’ letter remains to be seen.