Generally construction of luxury-only housing indicates high regulatory barriers. Because it is hard to make a building, then demand is high, and the costs of

Generally construction of luxury-only housing indicates high regulatory barriers. Because it is hard to make a building, then demand is high, and the costs of meeting the regulations is also high. The rational response to that is to make he unit-cost high. If you placed sever restrictions on car production you'd find the surviving brands would be the luxury brands.