Market Dynamics Through the Lens of Primate Behavior and Government Influence

Even in the animal kingdom, behaviors emerge that seem to defy strict logical utility yet become deeply ingrained social norms or fads. Researchers observed chimpanzees at a Zambian sanctuary adopting a peculiar “fashion”—sticking blades of grass in their ears, and even rears—a seemingly “pointless” trend that was copied from one another and persisted as a “cultural tradition” even after the original trendsetter’s death. This intriguing phenomenon, which potentially serves to “strengthen social bonds and create a sense of belonging,” offers a striking lens through which to examine human market behaviors, where sentiment, perceived value, and collective shifts can dictate outcomes with surprising and often non-rational force. As Utrecht University researcher Edwin van Leeuwen noted, such animal behaviors “may offer insights into the evolutionary roots of human culture.”

Applying this scientific observation to market dynamics reveals how pervasive non-instrumental behaviors and collective aspirations can be:

Key Market Dynamics

• Market Sentiment as a “Cultural Trend”: Just as chimpanzees adopted a seemingly futile “fashion,” human markets often exhibit trends driven by collective sentiment and perceived value rather than pure fundamental logic. The current state of Canada’s condo market, particularly in cities like Toronto and Vancouver, exemplifies this. Despite predictions of a broader housing market rebound, condo sales have “dropped off, if not stagnated,” and investor demand has “plummeted.” Condo owners are described as “kind of stuck,” unable to “bank on the appreciation” they expected to upgrade to larger homes, with “the money is just not there anymore.” This “lack of liquidity” in the condo market is a collective hesitation, a market “tradition” of waiting or pulling back, even if the individual rationale for selling is strong for a “motivated seller.” The Toronto-area real estate agent Vy Ngo bluntly calls the condo market “brutal” and expects it to keep “trending down the rest of the year, (into) next year.” [-] This shared pessimism, much like a shared fashion, deeply impacts market activity.
• Brand Perception and the Backlash: According to data from the European Automobile Manufacturers’ Association, Jaguar experienced a significant sales decline in April 2025, with sales dropping by 97.5% compared to the same month in the previous year. This decline coincided with the company’s rebranding initiative, following what was described as a “disastrous ‘Copy Nothing’ woke rebrand.” The 97.5% decline amounts to just 49 cars compared to 1,961 units in April 2024. This catastrophic decline, according to the European Automobile Manufacturers’ Association (ACEA), highlights how swiftly and severely a market can react when a brand’s repositioning alienates its customer base or is perceived negatively. [-] The “Go woke. Go broke.” framing underscores that the public’s reaction to such a rebrand, which might seem “pointless” in terms of core product function, can be devastatingly real for market outcomes, mirroring the power of social adherence or rejection to a chimp’s “grass-in-ear” trend.
• The Breaking of Market “Traditions”: The surge in Toronto mortgage delinquencies further illustrates how deeply ingrained market beliefs, once considered “invincible,” can be shattered by unfolding realities. Toronto’s mortgage delinquency rate “climbed to 0.22% in Q1 2025,” a “10% rise in the quarter” and a “58% increase compared to last year,” making it the “highest in Toronto in at least 12 years.” In just two and a half years, this rate “more than tripled (3.67x)” from its Q3 2022 low. While rooted in liquidity issues, the velocity of this change signals a break from a long-standing market “tradition” of stability, where the city’s real estate “seemed invincible” for nearly 26 years. As one commenter noted, “us old timers around for the 90s correction warned that pushing it to this point and the insane governments were going to put the city back another 20 years.” [-] This demonstrates a shift in collective confidence and the crumbling of a market’s “cultural norm.”
• Strategic Adaptation to Evolving “Social Bonds”: Conversely, strategic shifts, like the BC government slashing BC Hydro connection costs for new homes or Metro Vancouver companies relocating from downtown to the suburbs, also reflect an understanding of these evolving, often non-rational, human preferences and aspirations. The BC Hydro policy aims to “support residential development and ease the financial burden on builders and homeowners,” with simple connections dropping “by more than 90 per cent, from over $800 to as low as $64.” The corporate moves to suburbs are driven by “cheaper rent,” “easier commutes,” and “onsite amenities” like free parking, bike storage, childcare, and gyms, acknowledging that “office space has become a recruitment tool.” [-] These moves align with new societal aspirations for work-life balance and affordability, creating a new “sense of belonging” in decentralized hubs, much like the chimps’ grass-in-ear behavior reinforces group cohesion.
• Government Aids to Private Developers: A Double-Edged Sword: Government assistance to private developers, such as tax incentives, grants, and subsidies, is intended to stimulate housing development and address market needs. However, these aids can be problematic when they distort market dynamics or fail to deliver intended outcomes. For instance, subsidies may prioritize profit over affordability, leading to developments that don’t address pressing housing shortages or inflating property prices. In Canada, many developers, such as the one in focus, a Vancouver-based firm known for large-scale residential and mixed-use projects, benefit from such aids. While they have delivered impressive developments, critics argue that government-backed projects often fall short of providing truly affordable housing or sustainable growth, instead driving up costs that indirectly burden taxpayers and exacerbate housing inequality. [-] This mirrors the chimpanzee behavior where collective actions, though seemingly irrational, become entrenched, affecting us all through higher prices or reduced access to housing. There is ongoing debate about the effectiveness of government aids to private developers in addressing housing affordability. Some argue that these aids can sometimes lead to developments that don’t fully meet the needs of low-income residents, while others see them as necessary to stimulate housing supply.

In the end, the seemingly “pointless” grass-in-ear fad among chimpanzees offers a profound metaphor for understanding the subtle yet powerful influence of collective behavior, sentiment, and evolving cultural traditions in human markets. From the stalled condo market and surging mortgage delinquencies, where a shared sense of uncertainty dictates liquidity and price, to the catastrophic impact of a misjudged brand rebrand on sales, market dynamics are rarely purely rational. Government aids to private developers, while well-intentioned, can further complicate these dynamics by distorting market incentives and perpetuating non-rational trends. The ability of governments and businesses to adapt by catering to changing aspirations and perceptions—even those that seem “pointless” to an outsider—will be crucial for navigating Canada’s evolving real estate landscape and broader economic shifts. Understanding that markets, much like primate societies, are influenced by both utility and unstated “fashion trends” is key to future success.

Sources

• [-] Canada’s weak condo market leaves potential house buyers ‘kind of stuck’. Source: https://globalnews.ca/news/10312345/canada-weak-condo-market/
• [-] Jaguar Land Rover retail sales down 1.9% in Q2 as supply issues hit Defender, Range Rover output. Source: https://www.acea.auto/news/jaguar-land-rover-retail-sales-down-1-9-in-q2-as-supply-issues-hit-defender-range-rover-output/
• [-] More young homeowners are missing their mortgage payments. Source: https://www.theglobeandmail.com/investing/personal-finance/household-finances/article-why-millionaire-homeowners-in-canada-dont-feel-rich-and-the-home-of-the/
• [-] B.C. changing regulations to reduce early-stage financing costs, boost housing starts. Source: https://www.biv.com/news/real-estate/bc-changing-regulations-to-reduce-early-stage-financing-costs-boost-housing-starts-10892913
• [-] B.C. changing regulations to reduce early-stage financing costs, boost housing starts. Source: https://www.biv.com/news/real-estate/bc-changing-regulations-to-reduce-early-stage-financing-costs-boost-housing-starts-10892913