3 ms·
In practice it's more like they are expected not to profit excessively. See the $700 epipens & surrounding firestorm.
by ip26 7y ago
In practice it's more like they are expected not to profit excessively. See the $700 epipens & surrounding firestorm.
- gruez 7y agoThe two cases aren't really comparable. In the case of epipen, the price is high because manufacturer has a monopoly, and is using that monopoly to hike prices. With the masks, the prices are high purely because demand far outstrips supply. Those ebay sellers hardly have a monopoly, so I expect them to be priced close to the market clearing price, otherwise they'd be either be selling out (if below) or have zero sales (if above). In a perfect world, any profits would be redistributed back to society, but that's more of a taxation problem than a market one.