3 ms·
why it is "artificially cheap" ? price is result of supply / demand , and if nobody wants to live in suburbs then price will also be low. I agree that police/em
by akoncius 9y ago
why it is "artificially cheap" ? price is result of supply / demand , and if nobody wants to live in suburbs then price will also be low. I agree that police/emergency/firefighters will be subsidised by district, but for example trash services could have higher pricing to compensate longer trips to locations. same applies for water/gas services. For example my dad recently build tiny house in suburbs of one small city and he paid his own money to do some pipe works in order to have city's water supply. Same for sewage. But still pricing is lower compared to city's more central places because of prestige and comfort, so it makes sense to have cheaper pricing in suburbs.
I understand what you are trying to say but it contradicts how currently market is working, because in order to make sense city's apartments should be cheaper compared to suburbs, but given that population in cities is increasing, it means demand for apartments in cities is increasing, so increasing pricing too, and then we go back to square one - suburbs are cheaper to acquire.