34 ms·
Why do increasing incomes support demand? I am not going to move to another place exactly the same just because I make more money. In order for prices to increa
by Eisenstein 3y ago
Why do increasing incomes support demand? I am not going to move to another place exactly the same just because I make more money. In order for prices to increase, I would have to be moving into a better place than I am in now, which means it would cost more anyway. Me moving laterally gives me no utility.
- jeffbee 3y agoIn the American rental market, for most lessees, the lessor can raise the price an arbitrary amount periodically. This is true for virtually all tenancies in this country.
- Eisenstein 3y agoSounds like that isn't a market force if they do it without demand changing.