10 ms·
Don't need a monopoly if owners collectively behave this way, and they largely do (as we see in places like London or Berlin) because it ensures rising rent and
by jplayer01 8y ago
Don't need a monopoly if owners collectively behave this way, and they largely do (as we see in places like London or Berlin) because it ensures rising rent and thus increasing profit and property value.
- enoch_r 8y agoThis is a pretty classic prisoner's dilemma. Anyone who defects earns $3k more a month and has no appreciable affect on the rent for any other units they may own. Unless landlords are very unusually scrupulous, the resulting equilibrium won't look like a monopoly.