BizJournals Portfolio
Jan 14 2008 12:00am EDT

The Economics of Cheap Sofas

Tim Harford on Ikea:

When a typical London home costs £300,000, why are cheap sofas to put in it still such a tempting offering?

Unfortunately, Harford doesn't answer his own question. Maybe it's precisely because houses are so expensive that no one has any money left to spend on decent furniture.

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