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The total size of the pie influences prices: if people have more money this by itself can cause inflation. See for example housing in San Francisco. Some people
by ako 9y ago
The total size of the pie influences prices: if people have more money this by itself can cause inflation. See for example housing in San Francisco. Some people are forces to move, eventhough they have lived in the same house for years.
Housing prices in the neighbourhood go up, because potential buyers have a large piece of the pie. This causes average house prices to rise, which causes taxes to rise.
Suddenly the original piece of the pie is no longer enough to afford the house you always lived in.