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Look at the rollout of the playstation 5 to examine how society in 2020 uses the free market to float a fixed supply resource. You'll find some interesting insi
by aabhay 6y ago
Look at the rollout of the playstation 5 to examine how society in 2020 uses the free market to float a fixed supply resource. You'll find some interesting insights:
* Electronic technology makes it impossible to guarantee equal access. Hackers in other countries could easily disrupt the supply chain
* A "temporary socialism" emerged to disparage the scalpers and middlemen -- the public at large was incredibly unhappy
* Existing middlemen (retail stores) were completely overwhelmed, as there was a gigantic information asymmetry between production, distribution, retail, and consumption
* A completely totalitarian rollout (e.g. Sony sells on its own without middlemen) seems feasible, and might have actually been more efficient, even if delayed by a month. More people would have a PS5 now if the solution was totally vertically integrated.