Coase Colored Glasses

Sunday, January 15, 2006

Coase Colored Glasses

Realtors as cartel
Realtors exist to reduce transaction costs, which sounds like a nice market solution to a diffused information problem. But, the National Association of Realtors and their state affiliates have managed to turn their services into a cartel where they are able to set their pricces at 6% of the selling price. Freakonomics has a good chapter on whether or not you should use a realtor. Here is a recent post on their webpage on the topic.

2 Comments:

At 7:56 PM, Blogger Spencer M. Taylor said...

Prof. Simmons, I just got the book Freakonomics for Christmas (can I use the word christian word "Christmas" on this website? I hope I'm not breaking any laws). I can't wait to start it. I have to finish The Fatal Conciet by Hayek first. I have 35 more pages to read.

 
At 11:25 PM, Blogger arnoldtheo7490 said...

I read over your blog, and i found it inquisitive, you may find My Blog interesting. My blog is just about my day to day life, as a park ranger. So please Click Here To Read My Blog

http://www.juicyfruiter.blogspot.com

 

Post a Comment

<< Home