Mish's Global Economic Trend Analysis Message Board

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Strategies & Market Trends : Mish's Global Economic Trend Analysis

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To: Tommaso who wrote (71278)	11/17/2007 3:23:00 AM
From: mishedlo	Read Replies (1) of 116555

Backfired Homebuilder Tactics or Simple Supply and Demand Issues? globaleconomicanalysis.blogspot.com Some homebuilders have come to the conclusion that price reductions are backfiring. In response they are attempting to hold the line on prices. Some are even continuing to build homes and wait for prices to rise. The reality is a simple case of supply and demand. With inventory rising and the economy slowing attempting to hold prices will fail. Some homebuilders have come to the conclusion that price reductions are backfiring. In response they are attempting to hold the line on prices. Some are even continuing to build homes and wait for prices to rise. The reality is a simple case of supply and demand. With inventory rising and the economy slowing attempting to hold prices will fail. Mish

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