Former Labour Cabinet minister John Tamihere was correct when he said the obvious solution was that the state had to get involved to provide the capital, train a construction workforce and, if necessary, subsidise the thousands of families who need a roof over their heads.
Disappointingly, both speeches by Key and Shearer this week cheerfully stuck with the current failed non-interventionist model. My Labour mates who didn't support Shearer in their leadership ballot last year now feel justified.
But they miss the point. I believed Shearer had a better chance of becoming Prime Minister in the next election than any of his colleagues on offer. Under MMP, it's not the biggest party that wins, it's the leader of the main party who can form a majority coalition.
If Shearer went further to the left, he wouldn't grow the coalition but merely succeed in taking votes off his potential allies - the Greens, Mana and NZ First. He'd lose the next election.
That's why I can see why he believes he has to move to the centre. This opens up space on his left for those three parties to increase their support, promoting more progressive policies than his party does. These parties are already on the left of Labour, on economics anyway, and the Greens and Mana are also on social policy.
After the next election, if these three support parties expand their numbers, they can make legitimate demands that any Labour-led government would have to adopt. It's called having your cake and eating it, too.
The positioning that has prompted Labour's apparent tack to the right may seem too clever by half. So you need to consider it alongside the individual actions of our leaders. The Auckland port dispute, for example, is a polarising matter. Therefore watching the conduct of the leaders of our possible next government provides an insight to their future behaviour.
The Greens and Mana's Hone Harawira predictably gave staunch support to the workers. Happily, Winston Peters sided with them, too. And although Shearer is cautious, he decided last Saturday to march and speak in support of the workers. Neither Phil Goff nor Helen Clark would have risked that.
The conduct of the leaders of the four opposition parties last weekend gives me confidence that despite the hopeful right-wing twitters, Shearer won't sell his supporters out. It's a shame we didn't know that about another Labour candidate before we elected him Mayor.