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In the bread scenario, the high price was driven by the shortage. That is, there isn't enough wheat physically available to fulfill the demand. Typical wheat
by linkregister 10y ago
In the bread scenario, the high price was driven by the shortage. That is, there isn't enough wheat physically available to fulfill the demand. Typical wheat production ends up with a surplus, which is stored, destroyed, or sold to lower-tier markets at a large discount.
I see the point you're trying to make. But the point remains that the high price of a commodity is a reflection of scarcity, not the other way around.
I didn't downvote you, but I'm assuming most commenters on HN don't want to be compared to bread or other commodities.
- RealityVoid 10y agoI don't see where you disagree with the OP. You say the same thing. > But the point remains that the high price of a commodity is a reflection of scarcity, not the other way around. I really fail to see the difference between OP and your point. Can you please elaborate?
- muninn_ 10y agoPeople aren't a commodity. Bread can't collectively bargain, improve it's own flavor to increase it's value, or start it's own granary. Comparing commodities to software engineers or what have you is be it's very nature an oversimplification and isn't very useful.