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Markets can remain irrational longer than you can remain solvent. Supply and demand is a great principle but you'll go hungry in the meantime. And if you're j
by klyrs 3y ago
Markets can remain irrational longer than you can remain solvent. Supply and demand is a great principle but you'll go hungry in the meantime. And if you're just poorer than your neighbors, the grocery store can jack up the price of eggs to cover the ones that spoiled because you couldn't afford them.
- prepend 3y agoDon’t argue with me, argue with reality, https://www.econlib.org/library/Enc/Supply.html https://www.econlib.org/library/Enc/Supply.html Don’t mistake your own experience with the entire market. The market doesn’t care what happens to you. The market cares what happens to everyone. Of course you’ll go hungry. Supply and demand doesn’t determine how much you will pay or if you will eat. It just sets a price and maybe you can afford it and maybe you can’t. The grocery store can’t jack up the price if people aren’t willing or able to pay that amount. They might stop carrying eggs altogether, but they are more likely to price at whatever the market will bear.
- klyrs 3y agoIt sounds like you agree that Walter's statement > Now you have only $40 to spend on eggs, and (due to the Law of Supply & Demand) the price of eggs declines. was utter bollox
- WalterBright 3y agoOpen a grocery store and give it a try.
- klyrs 3y agoYou mistake me for a person with enough money to open a grocery store.
- WalterBright 3y agoThere are lots of businesses you can start with little to no cash. Try gouging your customers. Let us know how it goes.
- klyrs 3y agoWhere I live, almost all grocers are owned by one of two umbrella corporations, who appear to coordinate their prices. Similar story for farms.. It takes monopoly power to gouge and get away with it.