This is all true, but removing the broker fees and replacing it with a rent hike is still better for the market overall, since the broker fees simply artificial

This is all true, but removing the broker fees and replacing it with a rent hike is still better for the market overall, since the broker fees simply artificially dampen liquidity. You only paid them when you moved into a new place, but that meant that if you are stuck with a crappy landlord you might not move out because the marginal cost of moving anywhere else in NYC is much higher.