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> A rise in one price due to lack of supply implies a fall in other price This makes no sense. Price rises beget price rises. Oil, computer chips, labor, whate
by quantified 5y ago
> A rise in one price due to lack of supply implies a fall in other price
This makes no sense. Price rises beget price rises. Oil, computer chips, labor, whatever.
- Proven 5y agoOf course it makes sense. If the meddling central planners didn't screw up and created all sorts of artificial shortages (labor, nat gas, chips, services), producers of substitute goods would increase their production and lower their prices because fixed costs would be spread over more units.