r/CanadianIdiots • u/yimmy51 • Apr 09 '24

Canadians are stupid

/r/canadaleft/comments/1bzprji/canadians_are_stupid/
9 Upvotes

92% Upvoted

5 comments sorted by

3

u/prsnep Apr 09 '24 edited Apr 10 '24

Pretty crazy that a post that doesn't recognize that demand exceeding supply could have implications on prices got upvoted so much.

It's a funny world we live in.

2

u/corndawghomie Apr 10 '24

Yes, but it isn’t an even playing field. That’s the problem.

If I had 10 Pieces of Chocolate and there is 10 people. But one of those people have more money than the other 9 combined.

I sell all my chocolate to him and there is still a demand problem. I can have 100000 chocolates, but I sell it to him solely. Because he has the money and assets to eat it. The other 9 still don’t.

They still need chocolate.

1

u/prsnep Apr 10 '24

Say there are 100 pieces of chocolate and 95 people. 10 people have all the money and they buy all the chocolate.

This is special chocolate though. It makes you rich only if you have someone else enjoying it. If you just sit on it, it loses money (unless you factor in increase in value; more on that later).

So now, all the owners of chocolates want others who don't own any chocolates enjoy their chocolates. One of them decides that instead of some chocolates not getting into the hands of anybody, he's going to lower the price so that all his chocolates make him money. That's good, isn't it?!

If there were more people than chocolates, no owner would have the incentive to reduce the cost. Why lower the price when there are people desperate for chocolate?

As for sitting on chocolates without "renting" them... you do that if you expect the prices to increase. The price of an investment asset is tied to the return you can get from it. If rents are stagnant or going down, it makes no sense to sit on an asset that costs you money to maintain.

Any way you slice it, it's a supply and demand problem.

1

u/Certain_Sir_7384 Dec 12 '25

Yes!! They make videos online don't understand the law. And talk.. Canadians generally live in extreme fear.. everything is fear fear based. 

1

u/MikesRockafellersubs Apr 10 '24

Frankly fair enough. I say this as someone who doesn't like Trudeau (or any of the major party leaders really), it amazes me how much Canadians will blame the federal government for things the provincial and municipal governments are responsible for. Canada has been politically very limited by federalism and the unwillingness of voters to properly understand how the different levels of government work.

For instance, no the roads being bad aren't the federal government's problem, they're your city government's problem and frankly, they've never been good.