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It's not purely that simple. Ideally, the farm owners are trying to hit the price point at the intersection of the supply and demand curves. If the demand curve
by goldbrick 11y ago
It's not purely that simple. Ideally, the farm owners are trying to hit the price point at the intersection of the supply and demand curves. If the demand curve was perfectly inelastic your explanation would be sufficient, but most consumers are going to balk when a carton of strawberries reaches a certain level, and therefore the market is putting downward pressure on the price due to demand.
- douche 11y agoMaybe if these luxury crops can't be sold economically without resorting to illegal labor, they should be replaced with other products that are more economical. I can go pick my own strawberries in New England when they are in season for $1-2 a pound. That season might only be about three or four weeks in June/July, but there's other stuff the other eleven months of the year. If I want fresh strawberries in December, they ought to be at a premium. We used to use a lot of teen-aged labor for this kind of low-skill seasonal work, and I don't necessarily think there's anything wrong with that. There's still parts of Aroostook county in Maine where they have a weird school year, because traditionally they needed every warm body to get the potato harvest picked in early fall.