3 ms·

There is no such thing as "to meet demand." If there were suddenly 4.3M more apartments, prices would drop, and suddenly there would be more demand as more peop

There is no such thing as "to meet demand." If there were suddenly 4.3M more apartments, prices would drop, and suddenly there would be more demand as more people believe they can afford to have an apartment. Students who previously would have lived with their parents would want their own apartment. People with roommates would suddenly want their own place.

colinsane 4y ago
> There is no such thing as "to meet demand. you’re talking about induced demand (i think that’s the term?), which is very real and makes the 4M figure in the article a bit misleading, but such demand isn’t likely to be infinite. consider an analogous endgame: i create a product which can dispense sushi for free. i give you a plate of 100 pounds of sushi, at no cost. you’re not going to eat it all, you’re not going to infinitely expand your demand to meet the available supply. supply really has met demand in this scenario. i think a similar thing would apply to housing. even the very well-off don’t tend to purchase the maximal number of vacation homes they could afford. and i don’t think there’s any technology short of cloning that would cause a person to desire infinite residences: you can only be in on place at any given time…
welshwelsh 4y ago
Excellent. Everyone should have their own place