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"unless they have assurance of long term sales beyond the current pandemic" Nailed it. Yep. Building a massive production line with complex equipment and train

"unless they have assurance of long term sales beyond the current pandemic" Nailed it. Yep. Building a massive production line with complex equipment and training only to be bankrupt in 6 months is a fools errand. The is why we have a government - when we need something that capitalism cannot supply. But they wont, so we don't.

whatshisface 6y ago
>Building a massive production line with complex equipment and training only to be bankrupt in 6 months is a fools errand. Not if they can make all of their money back in 6 months via extreme prices. However we are past the "extreme prices" phase of the pandemic.
- ardy42 6y ago
  >> Building a massive production line with complex equipment and training only to be bankrupt in 6 months is a fools errand. > Not if they can make all of their money back in 6 months via extreme prices. However we are past the "extreme prices" phase of the pandemic. But to do that, you'd have to bring the new production capacity online on day 1, which is unrealistic. The timelines just don't make sense. New factories don't just pop into existence; it take time to build them and bring them online. The main thing that would actually happen if price gouging was allowed is that parasitic middlemen would drive up the prices of existing stock by flipping it (making only a personal profit and doing no social good). Existing manufacturers might do that too, if they're not concerned with losing goodwill by pissing off their current customers.
kitteh 6y ago
Back in the day we had GOCO (govt owned company operated) facilities to handle things like ammunition manufacture (they still exist). But this administration has made it clear they won't do that for PPE.
trentnix 6y ago
That is not why we have government. In this case, government is actually preventing capitalism from being tried. But you see that as capitalism has failed and only government can save us.

whatshisface 6y ago

>Building a massive production line with complex equipment and training only to be bankrupt in 6 months is a fools errand. Not if they can make all of their money back in 6 months via extreme prices. However we are past the "extreme prices" phase of the pandemic.

ardy42 6y ago
>> Building a massive production line with complex equipment and training only to be bankrupt in 6 months is a fools errand. > Not if they can make all of their money back in 6 months via extreme prices. However we are past the "extreme prices" phase of the pandemic. But to do that, you'd have to bring the new production capacity online on day 1, which is unrealistic. The timelines just don't make sense. New factories don't just pop into existence; it take time to build them and bring them online. The main thing that would actually happen if price gouging was allowed is that parasitic middlemen would drive up the prices of existing stock by flipping it (making only a personal profit and doing no social good). Existing manufacturers might do that too, if they're not concerned with losing goodwill by pissing off their current customers.

kitteh 6y ago

Back in the day we had GOCO (govt owned company operated) facilities to handle things like ammunition manufacture (they still exist). But this administration has made it clear they won't do that for PPE.

trentnix 6y ago

That is not why we have government. In this case, government is actually preventing capitalism from being tried. But you see that as capitalism has failed and only government can save us.