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My point is simple: constraints on supply mean that the market is not operating efficiently. Our current housing market is not efficient at all.

I thought "the market" is the ability to price things. A market "not operating efficiently" means that the price is not adjusted quickly enough. In DC housing clearly that is not true.

What I think is meant is that the SUPPLY is not responding to the market price signals quickly enough. This is not "market inefficiency."

by goldfish on Dec 20, 2012 9:35 am • linkreport

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