Extensive evidence now exists that the ultimate solution to homelessness involves increasing pay for low-wage work and creating more affordable housing, with support services for those who need it. Emergency shelters, transitional housing, life-skills training, and forced savings programs do nothing to reduce the overall amount of homelessness. The housing market on its own cannot house the growing number of people who are left out of the formal economy or have a tenuous relationship to it. In such a situation, the state has no choice but to intervene directly.

