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But why does that astound you or strike you as a problem? Look at any mature market and you'll find middlemen buffering supply and demand. Imagine: 50-70% of a
by mrchicity 11y ago
But why does that astound you or strike you as a problem? Look at any mature market and you'll find middlemen buffering supply and demand. Imagine:
50-70% of auto transactions are between dealers who don't even drive their cars and only own them for weeks!
50-70% of bread transactions are between distributors and supermarkets who don't even eat bread and want to sell it in days or even hours!
- abalashov 11y agoThat's a good point. I suppose I assumed that the 50-70% figure referred to front-side securities, futures, or commodity transactions (the equivalent of an end-customer buying a finished product in a retail transaction), rather than amongst various intermediate levels in a complex supply chain.