Posted in r/collapse by u/Still_Scarcity • 592 points and 139 comments

I don't watch network news anymore and haven't watched it in years but I'm guessing that this isn't talked about at all, except maybe to drum up support for red MAGA over blue MAGA or something.

  • adultswim_antifa [he/him]
    ·
    3 years ago

    Shortages drive prices up until enough people are priced out that those with money can buy as much as they want.

    By the way, supply and demand curves aren't real. It's been mathematically proven for more than 40 years that the excess demand curve, which economists still believe always curves down, can curve back up and down again as price increases, which means there are possibly many price-quantity equilibria.

    • Collatz_problem [comrade/them]
      ·
      3 years ago

      It’s been mathematically proven for more than 40 years that the excess demand curve, which economists still believe always curves down, can curve back up and down again as price increases, which means there are possibly many price-quantity equilibria.

      Sonnenschein-Mantel-Debreu theorem?

        • adultswim_antifa [he/him]
          ·
          3 years ago

          The supply and demand curves are based on how individuals act, but combining them can produce complicated curves unless everyone has identical preferences and equal amounts of money and therefore all behave identically.

          • Spiderman [any]
            ·
            3 years ago

            Interesting, but I meant the specific thing you mentioned. Also I wonder how they factor in demand allowing for artificial scarcity and stuff like commodity fetishism reducing backlash to downsizing products in order to scrape out even more profits

    • ElGosso [he/him]
      ·
      3 years ago

      Would love it if you can dig up a link that explains this in more depth