[lwf]

This is addressed directly in the article via economic theory, comparative analysis, and "detailed empirical work" (from studying cases where new housing was built and the observed effect on prices):

From the article:

> When I first started making the case for land use reform, we had two legs to our argument. One was basic economic theory — more supply equals less scarcity equals lower prices. The other was cross-sectional analysis — metro areas with laxer land use regulation see more construction and lower prices. But we can now add a third leg to that analysis in terms of detailed empirical work. [...]

>> We study the local effects of new market-rate housing in low-income areas using microdata on large apartment buildings, rents, and migration. New buildings decrease rents in nearby units by about 6 percent relative to units slightly farther away or near sites developed later, and they increase in-migration from low-income areas. We show that new buildings absorb many high-income households and increase the local housing stock substantially.