The Grattan Institute is fully aware of this,
but they've put on a spin that will allow their developer mates to increase profits per unit of land area thru densification-
while fooling the gullible that they're genuinely interested in eliminating the demand/supply imbalance and bringing down house prices.
Of course the developer mates do not have to pay for the infrastructure support costs (eg expensive city retro fits)- we do, nor do they wear the quality of life decline,
... as they can afford to live beyond the sh*t fight.
No it won't.
It's impossible to fix a supply/demand imbalance with more supply if policymakers just keep increasing demand to match it or exceed it.
This is why prices do not sustainably fall even during huge building booms.
The data is there.