Final answer:
The Veblen effect is the principle that states when a lower quality property is placed in an area of higher quality properties, the lower quality property's value is increased.
Step-by-step explanation:
The principle you are referring to is called the Veblen effect. It is an economic concept that states when a lower quality property is placed in an area of properties that are of higher quality, the lower quality property's value is increased. This effect occurs because individuals often associate higher prices with higher quality and prestige. As a result, the demand for the lower quality property increases, leading to an increase in its value.