In selecting the best location they weigh their preferences for access to land, labour (skilled or unskilled), inputs from other firms, market access (including the transport links to other cities or countries) and access to knowledge and amenities. A flexible land market allows households and firms to respond as economic conditions change, fostering innovation and competitiveness. Even the idea that a free urban real estate market can exist outside of government intervention is erroneous because governments help to determine where to locate infrastructure, public services and open spaces.