Price Distortion Quotes

A shortage is a sign that somebody is keeping the price artificially lower than it would be if supply and demand were allowed to operate freely.

Market prices are always wrong.

I mean, you can explain the fact that these are depressed prices, you know. We think these assets are going to be worth a lot more. And I think that case can be made in certain situations. But I think to just say, you know, we're going to say a dollar of cash is worth $2 all of a sudden, it isn't worth $2. It's worth a dollar today.

A lot of my book, 'The Price of Inequality,' is about why there has been an increase in rent-seeking.

One half of the world outprices the other half.

There are plenty of good five cent cigars in the country. The trouble is they cost a quarter.

Endorsing unconventional monetary policies unquestioningly is tantamount to saying that it is acceptable to distort asset prices if there are other domestic constraints on growth.

I sat down and collected all of our eleven sales for the past six months and I added them all together and divided by eleven. I then took that average and presented it as the average price for a Manhattan apartment. The media ate it up.

When people don’t pay the true cost of something, they tend to consume it inefficiently.

While local economies may experience significant price imbalances, a national severe price distortion seems most unlikely in the United States, given its size and diversity.

On the market, all is harmony. But as soon as intervention appears and is established, conflict is created, for each may participate in a scramble to be a net gainer rather than a net loser - to be part of the invading team instead of one of the victims.

Cartels have spread and will spread as long as the world lacks an effective mechanism by which balanced expansion may be achieved without a resulting disruption of prices.

Market prices are always wrong in the sense that they present a biased view of the future.

In the past four years, the U. S. sugar price has averaged between 64 and 92 percent higher than the world price, The costs are dispersed to hundreds of millions, The benefits accrue primarily to 4,700 sugar … farms.

Individual price and wage changes will not be prevented. In the main, price changes will simply be concealed by taking the form of changes in discounts, service, and quality, and wage changes, in overtime, perquisites and so on…. But to whatever extent the freeze is enforced, it will do harm by distorting relative prices.

I contend that financial markets never reflect the underlying reality accurately; they always distort it in some way or another and the distortions find expression in market prices. Those distortions can, occasionally, find ways to affect the fundamentals that market prices are supposed to reflect.

Undervaluations caused by neglect or prejudice may persist for an inconveniently long time, and the same applies to inflated prices caused by over-enthusiasm or artificial stimulants.