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>Having one buyer or seller of a product or service is neither called "price gouging" or "price fixing". If you want to be technical, yes. But the two go hand
by wakawaka28 2y ago
>Having one buyer or seller of a product or service is neither called "price gouging" or "price fixing".
If you want to be technical, yes. But the two go hand in hand. We have laws to promote competition and the law requiring manufacturers to not sell directly to consumers is one of them. Even if this is technically rent-seeking, it isn't very bad.
>What a strange idea.
It may sound strange but manufacturers have a tendency toward planned obsolescence. They make things to wear out in obnoxious and expensive ways, and restrict access to parts, so far as the law will allow. Nevertheless resale value is important for cars, independent dealers improve market efficiency and the liquidity of cars, etc. I believe manufacturers would abuse their position as exclusive dealers of their products. Tesla sure has.