Re: Delphi 2005 is here, apparently no benefit of the cheap dollar..

From: Wayne Niddery [TeamB] (wniddery_at_chaffaci.on.ca)
Date: 12/03/04 

Date: Fri, 3 Dec 2004 14:59:16 -0500

Jim Cooper wrote:
>> In a free market, demand /always/
>> determines price. That's, well, the fundamental definition /of/ a
>> free market.
>
> In which case, there is no such thing as a free market then (in
> well-ordered societies, at least)

How does that follow? Nick is not saying demand is the *sole* factor, the
price is set by the seller and, if the seller wants, he can totally ignore
the demand and set an arbitray price. But a rational seller is going to take
demand into account - if he can't keep up with it, he *should* raise is
price in order to get the money needed to expand production (or even just to
enjoy the added profits, *that's ok too*). 

-- 
Wayne Niddery - Logic Fundamentals, Inc. (www.logicfundamentals.com)
RADBooks: http://www.logicfundamentals.com/RADBooks.html
Light is faster than sound, which is why some folks appear bright
before they speak.

Relevant Pages

  • Brent and ZombyWoof...
    ... The price increase in Ford GT500's is not a function of supply and demand or a free market. ... It's the result of two economic factors working together; the price elasticity of demand and the realization that the GT500 can be classified as a Veblen-good. ... While it's true that Ford controls both the amount of production as well as the number of vehicles alloted to any specific dealership, this does not in an of itself create an artificial scarcity of the item. ...
    (rec.autos.makers.ford.mustang)
  • Re: OT: Economics and other non-Debian ramblings
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  • Re: Greedy Bastards.....
    ... Brent is trying to apply the function of a general free market to a specific participant in a free market. ... In a Demand & Capitalistic ... Here's my take on the dealer's strategy, and all dealers with a high demand product for that matter. ... After the crazies with more money than sense have their cars in the garage the only way for the dealers and Ford to keep demand up is to reduce the price. ...
    (rec.autos.makers.ford.mustang)
  • Re: Sleeping in Light
    ... "Supply and demand" does not explain why an item would ... If a seller asks a too high price, what will prove that the price is ... the poor, poor buyer is, well, a moron. ...
    (rec.arts.sf.tv.babylon5.moderated)
  • Re: whooo!!! iv got a job at last
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