Housing supply is the variable that can act as a release valve. If cities don't want to expand vertically, that's fine, but they'll inevitably end up in a Bay Area type rent spiral.

I think the real issue is that homeowners vote so much more frequently than renters (who would love to have more housing and lower rents), even though they're technically outnumbered.

Indeed, but eventually a ceiling is reached over which it would be impossible to make a profit having on-site employees.

I don't envy the locals though. I spent 2,5 months in Zurich, during which I saved so much that in pre-corona times it would be enough for the minimal allowed down payment for an apartment.

The Swiss don't have a Switzerland of Switzerland where they could pull off the same trick.