Skyscrapers and Business Cycles

Building the world’s tallest building has been a matter of particularly bad timing by entrepreneurs. Even if they were able to successfully steal away enough tenants from the remaining pool of renters, the economic problem for society is that valuable resources are lost in the process of constructing buildings that are underutilized. However, it is not the entrepreneur’s formula that is at fault, but a system-wide failure known as the business cycle, writes Mark Thornton.

This audio Mises Daily is narrated by the author.