and because of economies of scale, the establishment of suplly and distribution networks, and government subsidies, supply should be rising.
This is a new form of market competition that was first noticed in the early 1960s with automobiles. Rather than waiting for as long as possible to raise prices in response to rising production costs (to try to get their competitors to withdraw from the market first), corporations are now waiting for their competitors to raise prices so they can quickly follow suit. They're not really competing for sales or market share, now the goal is to adjust the demand curve to a more profitable profile. They can afford to sell less if the price per item (and the profit) goes up.
And for those consumers who can no longer afford the product, well, tough shit. Cut your hair and get a job, freeloader!
Current Events » in reply to Whatever the market will bear
Interesting, considering public demand for it is dropping...
The whole thread (33 posts)
- Whatever the market will bear
- Interesting, considering public demand for it is dropping...
- Price equilibrium.
- You're ignoring elasticity of demand. n/t
- De Beers
- You start off your post with a contradiction. The first two sentences.
- Price equilibrium.
- Interesting, considering public demand for it is dropping...