2 ms·
> And big enough share of demand accepted that new price point. Exactly - this is literally econ 101, no appeals to "greed" needed. As they say, the cure for
by hn_throwaway_99 2mo ago
> And big enough share of demand accepted that new price point.
Exactly - this is literally econ 101, no appeals to "greed" needed.
As they say, the cure for high prices is high prices. You already saw this in a number of different areas. Fast food prices outpaced what people were willing to pay, so people stopped eating out and businesses needed to adjust accordingly.
- math_loser 2mo ago> As they say, the cure for high prices is high prices. Your line of reasoning is downplaying the fact that we don't exist in a world with perfect markets or rational consumption habits. There are multiple clear cut examples of producer collusion and oligopoly formation in the past few years - including in the food industries (see eggs and pork in the past 5 years). Food being essential for life means consumers can't interact with the market rationally, just like they can't for insulin, transportation that enables income, and so on.