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nickles | 3 years ago

> Question though... why, exactly does that have to be the case? Especially with something like housing where say there is mostly a fixed supply at any point and you can't just turn a machine on/off to produce more.

Supply/demand is a basic tenet of economics. You can visualize the model with supply/demand graphs [0], which help make the model more intuitive.

The issue of the fixed supply is known as 'stickiness'. Most things in the economy lag policy, and data that we use to observe the economy also tends to lag. This is why it's really bad to have poorly designed policy; course correction is difficult, and people are hurt in the meantime.

> Every word of what you said is based on greed and squeezing the most you possibly can from people. Please realize that.

It could be fun to channel Gordon Gecko, but I disagree that this is about greed. I care about well designed economic policy because I care about people's well-being.

[0] https://www.edrawmax.com/article/supply-and-demand-graph.htm...

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