What happens when a concert sells tickets at too low of a price? It sells out too quickly and you can’t get a ticket unless you’re one of the first in line. well that’s what happens with food and basically everything else of value. I really suggest you read up on this because you have a dangerous point of view on this
Discussion
We’re not talking about concerts.
We’re talking about VERY specific and few commodities.
We are talking about commodities being priced too low. Which you’re saying wouldn’t lead to shortages. Which is wrong
No.
We’re talking about commodities being produced to levels where they will be priced low.
Look:
1) you don’t understand the current system in the US
2) it’s also apparent you don’t understand the amount of food that is thrown away on a daily basis.
These are things I’m very familiar.
Have knowledge before you spout nonsense.
Nah you are very ignorant to basic Econ. Producing too much supply has its own issues, especially with perishable goods. Why would a company increase their production capacity and not adjust this based on demand. Thats how you go bankrupt as a company
The current system in the U.S. is the result of price controls and crony protectionism. Overproduction of food over the long term is the result of subsidies, rebates, etc. and are funded by confiscatory taxation. Market interference always leads to shortages or surpluses--this is an economic principle against which there is no law. I appreciate the desire to help the poor--honestly--but there is a better way to do it that doesn't unintentionally harm them in the long term. See Michael Bauman, "Dangerous Samaritans: How we Unintentionally Harm the Poor".
Price controls inevitably require an authority to enforce them, which leads to producers producing at quantities that are unprofitable, and in the long term drives producers out of the market. This is the lesson of history.
Yep^
No producer will voluntarily produce commodities at a quantity that is unprofitable. Which means they would have to be coerced to do it. Interference with the market anywhere will lead inexorably to interference everywhere.
This might be a lost cost Aron.. not everyone can wrap their head around basic Econ, feel like we’re going in circles here
This economic law is universal (i.e., inescapable) and cannot be suspended for *any* very specific commodities without interfering with the overall market, and interference with the overall market ultimately harms the consumer.
But I’m “some moron who doesn’t get economics”. I literally have a masters degree in business and took much higher Econ classes then you sunshine. I think you’re ignorance is clouding your judgement