I can’t speak for the ‘logic’, but tell a company that the price of a benefit (like health care) will increase by $1,000 per year and they will go ballistic. But tell them that they need to pay $50,000 more to keep their people from moving to Austin and they’ll say “well, that’s the market”.
“Austin” has become a very expensive place.
Nashville, Tennessee and Greenville, South Carolina have also gotten quite expensive.