3 ms·

Owners of the existing supply, especially oligopolists, telling the city council not to build any new supply.

• redthrowaway 10y ago
  To the extent that's true, artificial constriction of supply does not escape "supply and demand".
  • jessaustin 10y ago
    It certainly takes the wind out of the Officer-Barbradyesque "Move along people! Nothing to see here!" we got from the Ec 10 auditor upthread.
    • morgante 10y ago
      I didn't read that at all. In fact, understanding that it's all about supply and demand is a critical step for tackling this issue and allowing new supply. I see far more resistance to new housing from people who don't understand econ 101 than from those who do.
      • jessaustin 10y ago
        I read this: The only thing the fat cats change is what proportion of the money goes to which people. Though this is a basic neoclassical assumption, it is definitely not true for any of the markets that have seen the most extreme price inflation. "The fat cats" have limited supply in those markets, not by the old-fashioned oligopolist technique of buying all available land, but by the more modern and more corrupt technique of dictating their favored regulations to the local politicians and regulators whose elections and appointments they have bankrolled.