3 ms·
This! At 5.5% of USA GDP [0], some oversupply to avoid supply shocks causing famine is a totally acceptable cost to me. Hell, look at server supply before AWS
by mrep 8y ago
This! At 5.5% of USA GDP [0], some oversupply to avoid supply shocks causing famine is a totally acceptable cost to me. Hell, look at server supply before AWS came along: everyone bought way more servers to account for peak demand and now we can amortize those demands across thousands of different customers. Another example is utilities in how electric supply is way overbuilt with peak generators that are cheap and inefficient to run only sparingly during heat waves in the summer when everyone's AC is on.
[0]: https://www.ers.usda.gov/data-products/ag-and-food-statistics-charting-the-essentials/ag-and-food-sectors-and-the-economy/ https://www.ers.usda.gov/data-products/ag-and-food-statistic...