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Brian Chesky is not saying to lower their prices. He is asking for property suppliers to check the local prices. Business Insider is pretty much the daily-mail

by mianos 3y ago

Brian Chesky is not saying to lower their prices. He is asking for property suppliers to check the local prices. Business Insider is pretty much the daily-mail of faux business publications. For markets to operate efficiently and quickly adjust prices based on supply and demand, you need transparent pricing. He is suggesting people actually compare local prices when setting their own. What is not working, is people are not comparing all prices or they are not available. When they do, they won't rent at Air BnB. This will be his loss, when hotels claw back patronage from bullshitting Air BnBs.

ta8645 3y ago
> What is not working, is people are not comparing all prices or they are not available. You're not hearing the argument. It's not my argument. It's the way markets are meant to operate. You don't need to ask anyone to check local prices. If people have something they want to sell, they will sell it at the proper price. If they set the wrong price, it will not sell. So, in this case, they will get instant feedback that they've done something wrong, because their rental units, will not be rented. They will make no money from them. They will be compelled to lower their prices if they want to rent them. You don't need to ask them to do anything, they will discover for themselves, the market will force them to realize their mistake. What i'm asking is why is the market insufficient in this case? Why is it not working? But your argument is making me think it works fine, it's just not producing the results that some people would rather see.
- mianos 3y ago
  In an inefficient market people get ripped off. Although I am sure that, some people would think, if someone rented some coastal shack with the same view as a five star hotel with all meals included, for three times the price, would be a great outcome for the shack owner, things like this will usually have the government step in. As they have down here in Australia, by forcing some central price discovery for things like fuel and electricity.

by mianos 3y ago

ta8645 3y ago

> What is not working, is people are not comparing all prices or they are not available. You're not hearing the argument. It's not my argument. It's the way markets are meant to operate. You don't need to ask anyone to check local prices. If people have something they want to sell, they will sell it at the proper price. If they set the wrong price, it will not sell. So, in this case, they will get instant feedback that they've done something wrong, because their rental units, will not be rented. They will make no money from them. They will be compelled to lower their prices if they want to rent them. You don't need to ask them to do anything, they will discover for themselves, the market will force them to realize their mistake. What i'm asking is why is the market insufficient in this case? Why is it not working? But your argument is making me think it works fine, it's just not producing the results that some people would rather see.

mianos 3y ago
In an inefficient market people get ripped off. Although I am sure that, some people would think, if someone rented some coastal shack with the same view as a five star hotel with all meals included, for three times the price, would be a great outcome for the shack owner, things like this will usually have the government step in. As they have down here in Australia, by forcing some central price discovery for things like fuel and electricity.