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Then the market is acting rationally and allocating limited goods to the highest bidder. Prices would go down if the population stopped purchasing at the given
by hellojesus 4y ago
Then the market is acting rationally and allocating limited goods to the highest bidder. Prices would go down if the population stopped purchasing at the given prices. But all it takes is one person to buy at a price just above yours to keep you out of the market.
- n4r9 4y agoI'm not arguing against the dynamics of the current economic system. I'm challenging whether "that's business after all" is a sound ethical defense of a decision to raise new car prices in this climate. You could just as easily claim that industry consolidation is "rational" because it the people making the deals make a lot of money, but the overall effect is often bad for society.
- ReptileMan 4y agoAnd this one is not because there are enough cars in the US and even if currently no new are produced - existing are rarely decommissioned because they no longer work. Very few people need new car now. Or need to change their car now. It is a flexible market. In the current market supply shortage means that you will have to squeeze 50000 more miles out of your current car in the next two years. It's not insulin or baby formula.
- n4r9 4y agoA ~30% spike in used car prices which has been ongoing for a year and is predicted to continue for 2-3 years is bad for people that need a car to commute and can't easily afford to buy another if and when theirs breaks down. Maybe you're right and this is a fraction of a percentage of the population. I'd be surprised but am open to seeing stats on it.
- nradov 4y agoThat's just wrong. About 5% of cars are scrapped every year. Many people need to buy a replacement vehicle on short notice because their old car suffers a catastrophic mechanical failure, or is totalled in a collision.