The Canadian population sailed past the 40 million mark for the first time in history this summer and new data shows that the country continues to outdo itself, adding 430,635 people in the third quarter of the year alone.That figure, which puts Canada’s population in the ballpark of more than 40.5M...
  • Fitik@fedia.io
    0·
    11 months ago

    Okay, can you point my mistake please? I would be happy to know how it does work then.

    Supply and demand, in economics, relationship between the quantity of a commodity that producers wish to sell at various prices and the quantity that consumers wish to buy. It is the main model of price determination used in economic theory. The price of a commodity is determined by the interaction of supply and demand in a market. The resulting price is referred to as the equilibrium price and represents an agreement between producers and consumers of the good. In equilibrium the quantity of a good supplied by producers equals the quantity demanded by consumers.

    • kbal@fedia.io
      0·
      11 months ago

      Other things being equal, an increase in demand leads to an increase in the equilibrium price. Google “demand shock” for more relevant info. To the extent that it is governed by the usual laws of supply and demand (which is to a notably limited extent), housing is a market that is slow to adapt and will take quite some time to adjust to a sudden change in the demand curve.

      • Fitik@fedia.io
        0·
        11 months ago

        Yep, I know about demand shock. And I know that housing is slow to adapt usually, however it all adapt, even if it will take time. (That’s what happened with housing bubbles for example)

        And I agree with you, you’re correct, however how does it go against additionally? Even if I’ve simplified, haven’t I made the same point?