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just because associated costs exist doesn't mean that they are reflected in the offered price. In order for that to be the case you would have to make a zero ar
by ouid 8y ago
just because associated costs exist doesn't mean that they are reflected in the offered price. In order for that to be the case you would have to make a zero arbitrage argument, which doesn't apply to markets where sellers simply sell to the first buyer offer.
- kbutler 8y agoI'm not sure why you keep bringing up selling to the first offer and zero arbitrage. goatherders and I both described working with multiple buyers, and that finding the right buyer (that is, the one who will pay you $1,000 more than some other buyer) requires time and effort. When considering whether to accept an offer on the table or hold out for a better offer, the seller implicitly or explicitly considers the transaction costs (search, delay, processing, risk, privacy, etc.). This implies non-zero arbitrage, multiple offers, and market inefficiency.