OPEC has figured out over the years that the above is not quite accurate. What we are seeing here (with rent and other goods such as new console releases) is that the producers have figured out that human behavior does not track with the economic models. If you sell your item at an artificially high cost and cause a "shortage", people will still pay it. And not only will they pay it, but they will line up and wait for their chance to pay it. Thus the producers are left with zero incentive to increase supply and lower what they can charge.
What is missing is the element of "greed", that is entities that want to get as many customers and market share as they can. If an oligargy takes over and they decide they are content with 95 percent occupancy and the current rate of return, then why would they add a lot of new capacity quickly? Doing so would just fuck up a good thing.