Price gouging

[Will12785]

It's not imaginary, Its razor thin margin, high volume, and territorial manufacturing. We didn't want to raise prices unless we had to, normally when material costs changed. If the market is saturated, the manufactures don't want to raise prices if they aren't closer to a monopoly. You want to maximize profits while staying competitive.

You are adding a bunch of bullshit to the simple principle of supply and demand

If a business didn't make money, I expect it to fail long term. That's the business's owner's choice. If the didn't have the possibility of cost increases factored into the price, they made bad business calls. It's not the tax payers responsibility.

So you want to control how much money a business makes and when they make it? What's the incentive for the business to take risk?

 

[bad zuki]

You are adding a bunch of bullshit to the simple principle of supply and demand

No company will ever have a perfect supply and demand graph.

So you want to control how much money a business makes and when they make it? What's the incentive for the business to take risk?

In a normal, day to day operation, no. In a state of emergency, a 50% over cap. If they have to call the national gaurd in, I’m not worried about money at that time.

 

[Will12785]

No company will ever have a perfect supply and demand graph.

I'm aware of that. Hence the peaks and valleys of sale prices

In a normal, day to day operation, no. In a state of emergency, a 50% over cap. If they have to call the national gaurd in, I’m not worried about money at that time.

If you want to donate goods and services join local charity. Give the authority too so that to the government and you might as well head right to the gulag.

 

[rockota]

No company will ever have a perfect supply and demand graph.


In a normal, day to day operation, no. In a state of emergency, a 50% over cap. If they have to call the national gaurd in, I’m not worried about money at that time.

who defines state of emergency?

Cause if it's "gov't" then you just signed everyone up for full on communism because there's always an emergency.

You should probably read Atlas Shrugged a few times.

 

[clodhopper]

Gouging is an emotionally filled term. And it is objectively different from person to person.

Nearly everyone will, at the outset, be against "price gouging". Gouging is usually determined based on comparison to normal conditions. Except that during a storm, it isnt a normal condition. What one might deem an acceptable increase, another will light a torch and scream "gouger!".

Is extreme gouging really a negative thing? Lawless' hammers is a good example. Price controls only serve to burn off available stock and likely prevent re-stock as it doesnt allow for supply cost increases. Again we generally look at these things in the macro, from the mindset that things will eventually return to "normal" and there will be financial retribution to be paid for "gougers".

Stop and think of the immediate situation of a horrendous cataclysm. We all have heard or encountered the parent that would do anything for thier kids, or wife, or whatever. Lets say your baby has a health condition and can only eat a very specific baby formula. Normally, while a bit more expensive, you can just buy it at the store. Enter the cataclysm. Suddenly, the store doesnt know when it might get restock.
1. That store could sell off stock at "normal" prices, people would be buying all the formula, even the weird special stuff you need, and adding it to what they had at home, just in case. You suddenly cannot find formula for your kid.... anywhere.
2. That store raises prices to "gouger" level. People are hesitant to waste money on such inflated prices. Stock doesnt blow out the door. You, needing that special formula for your kid and willing to liquidate a big portion of your life to afford to feed your child, has the OPPORTUNITY to buy that essential need, even at any kind of price.

Gouging has its place. And if you are in desparate need of a particular item, your chances of finding what you need are better.

 

[[486]]

I have another generator, but no fuel for it and no money for fuel, so now I must sell my spare generator for the most I can to provide for my family as long as possible. Still price gouging?

Yes, until you and your family are killed and your bodies are pyrolisized into gasoline to be given away in glass bottles with rags tied to them to the poor hungry defenseless peaceful protesters you're the enemy of the people.
And even then your coked remains are still morally wrong because you dared to.... What were we talking about again, I forgot.

 

[Juztyn00]

I do think its a dick move, but lets say I take a truckload of generators down there from 3 states away, and sell them at double the usual price. Are the people in a worse spot than if I hadnt taken any down there? Is no power better than overpriced power?

It also really depends on what the item is. Fuel, food, and medical supplies are necessities to keep people alive. Gouging I these items should be frowned upon.

Generators for the most part are a luxury item unless its very hot or very cold outside.

 

[bad zuki]

If you want to donate goods and services join local charity.

I already do, I encourage everyone to have a strong local community. That charity pays for itself more than the few days a year it costs. Part of a strong community is helping those in need. Not a gov funded community either.

Give the authority too so that to the government and you might as well head right to the gulag.

I'll agree to disagree. The rights of the people were given away prior to us.

 

[Tiha]

During Derechio storm in iowa a couple years back guys had gone into Lowes, home depot and Menards and bought every generator they had.

Then they listed them at twice the price on marketplace.

Is that okay?

They took the risk, shouldn't they get the reward?

Or did lowes, home depot and menards do something wrong by not stopping it?

 

[[486]]

During Derechio storm in iowa a couple years back guys had gone into Lowes, home depot and Menards and bought every generator they had.

Then they listed them at twice the price on marketplace.

Is that okay?

They took the risk, shouldn't they get the reward?

Or did lowes, home depot and menards do something wrong by not stopping it?

the stores did something retarded by not pricing their stock at market rate

 

[brantb]

Raising your prices when people are in a time of great tragedy or a state of emergency to take in extra profit is unethical.

Texas .. i believe the number is 25% increase in an emergency moves you from "what the market will bear" to Gouging.

Didnt texas do this with electricity during the last ice storm?

 

[YZRider]

Didnt texas do this with electricity during the last ice storm?

No. The ones that were "gouged" agreed to buy electricity at wholesale rates.

 

[WaterH]

Why are they worth it? What do they provide?


The strongest men on earth are constantly replaced. Just like nearly every athletic accomplishment or record. Natural or not, there will be others. Again, what are they providing?

If you want the best in the world, I guess you pay. They arnt worth shit to me. Some billionaire might pay it for the best football team. It’s tough to shop around for a doctor when you have a pentusitus.

To be fair, refer back to my original post on the situation. This was purely from the rumor mill. Literally told to me by a guy dumb enough to be cutting trees off of downed power lines so take that with the tiniest grain of salt that it's worth. I stopped to tell him "Hey buddy, you hear all those generators running in the distance? All it takes is for one of them to be back feeding power into the grid and you're fried."

You do know that is an internet myth. There has never been a confirmed death from a home generator back feeding power lines.

During any major weather event around here, like the week this area went without power during the snowpocalypse, all the big box stores selling generators had a strict no-return policy if the tape on the box was broken and the box even appeared to maybe barely have been opened.

And put me in the fully justify theft from dickheads trying to take advantage of a desperate situation. It seems to be modern human nature, so I could understand why some would defend the behavior.

Once you go down that road, it’s ok for me to steal from you because I had a set back.

I don't think it should be illegal, but morally it's at best a grey area. But, that's part of what's supposed to be a free market. You see an opportunity to jack up your prices 50% to take advantage of people in hard times, well people are probably going to remember that in 6 months when you're not the only place to buy something anymore.

There's a burger place here that's awesome and pretty reasonable for prices. Went to a music festival a few years ago and they had their food truck out there. Prices were double what they normally charge, no surprise there. But then when the festival is closing they keep selling food they know they're out of and refuse to give anyone refunds. I've never patronized them since. Yeah, they made an extra $10 off me once, but they lost all my future business for it too.


Then don't buy it if you don't like the price. How much money went into development, marketing, logistics, regulatory compliance, etc? It may seem like that layered cardboard only costs a few cents to make, and from a pure material cost it may be, but that doesn't mean the real world cost is anywhere near that.

The burger place has to consider the consequences. Free market.

If someone takes their time to transport goods to an area of need, they should be compensated accordingly, however, doubling the price is excessive and taking advantage of people. 25-50% increase due to demand and time in transport is not excessive. I have no problem with someone making the investment to buy a truckload of generators, taking them to a location, then asking a premium for the convenience.

Local shops jacking up the prices on goods just because of an emergency is gouging. if it could be bought for a normal price at the same place the day before, that's an issue.

Why shouldn’t the local place make extra money? They probably need it to cover their costs for things they need during the emergency.

It also really depends on what the item is. Fuel, food, and medical supplies are necessities to keep people alive. Gouging I these items should be frowned upon.

Generators for the most part are a luxury item unless its very hot or very cold outside.

That’s the beauty of freedom. You get to decide what you need to live. You can also prepare or take chances you can get what you need. It might be cheaper to buy at inflated prices after the disaster than to keep it on hand all the time.

 

[ROCKTACO]

Illegal or unethical???

Neither, free market

 

[Weasel]

insulin and epinephrin

price gouging or market costs?

 

[Grnjp92]

I read it as… You set your profit margins way before the disaster.
And they are accepting if you want to make an extra 20% off of everybody else’s misery… in a time when competition can’t readily move in to create a fair market.

Or you as a person could be prepared and yes if you lost your house. Hopefully you had insurance. So why should I help you with your problems? Why is the government i e taxpayers, paying for your choices?

 

[grumpy356]

Or you as a person could be prepared and yes if you lost your house. Hopefully you had insurance. So why should I help you with your problems? Why is the government i e taxpayers, paying for your choices?

I don’t get your correlation?

What does tax payer or any form of charity have to do with, … in time of disaster, you shouldn’t fuck your neighbor beyond a modest amount?

 

[Grnjp92]

insulin and epinephrin

price gouging or market costs?

I need neither why should help you with your weakness?

 

[Grnjp92]

I don’t get your correlation?

What does tax payer or any form of charity have to do with, … in time of disaster, you shouldn’t fuck your neighbor beyond a modest amount?

If i want to donate to the people impacted. That should be up to me. And yes people got fucked by nature Hopefully they had insurance. But I live on top of a hill not in a river bottom. So how is your poor choice my problem? How about, you live in Oklahoma, tornadoes come through, we all know happens every year. So i should pay you for your bad choices?
That said, i would not wish that devastation on anyone.

 

[rockota]

insulin and epinephrin

price gouging or market costs?

What ever happened to that CEO to jacked the price on those? Wasn’t she connected to the dnc or something?

 

[[486]]

What ever happened to that CEO to jacked the price on those? Wasn’t she connected to the dnc or something?

I recall some shit on a martin schkreli guy, being blown out of proportion and more or less it was 'either we raise the prices on these few extremely low volume products or they simply are not made at all'
that wasn't insulin related


the insulin one also was only the fancypants brand new and still patented fast-acting stuff, the normal slow generic insulin that'd been around forever was still dirt cheap.
every time that communist bullshit comes up I die a little inside
as though there should be absolutely no reward for developing new technologies and products, those who make new things need to be flayed and salted...

 

[WaterH]

insulin and epinephrin

price gouging or market costs?

Before they were invented, you didn’t get them. After that, the company has so many years of patent to make there money back at whatever price they choose. When the patent runs out, other company’s can jump in that market and the price will come down. If they price them too high during the patent, another company could invent a differnt drug that works the same or better to get in on that market. If they are more reasonable, the other companies won’t be tempted to enter that market.

 

[Weasel]

I need neither why should help you with your weakness?

I don't need them but your kids might.

 

[arse_sidewards]

the insulin one also was only the fancypants brand new and still patented fast-acting stuff, the normal slow generic insulin that'd been around forever was still dirt cheap.
every time that communist bullshit comes up I die a little inside
as though there should be absolutely no reward for developing new technologies and products, those who make new things need to be flayed and salted...

I remember watching the talking point change over the course of a couple days from "the insulin is $600" to "well of course you can use the old bad stuff for pennies but nobody wants to do that". That was back before I hated those people as much as I do so it meant more at the time.

 

[Weasel]

Martin Shkreli - Wikipedia

en.wikipedia.org

He had a aids drug that they bought and controlled the whole deal to bump the prices up a bunch because they could.

 

[[486]]

Martin Shkreli - Wikipedia

en.wikipedia.org

He had a aids drug that they bought and controlled the whole deal to bump the prices up a bunch because they could.

 

[[486]]

weasel, you a californian that moved to the midwest
or just a homegrown commie?

 

[Weasel]

I mean everyone loves a free market until they don't.

Real Estate - people want higher returns
Rentals - nvestors what ROI in shorter time frames
Auto mobiles - Workers want higher wages

Market is still supporting it and yet know one can afford anything.

I dunno. I didnt vote either just throwing out obersevations.

 

[grumpy356]

I recall some shit on a martin schkreli guy, being blown out of proportion and more or less it was 'either we raise the prices on these few extremely low volume products or they simply are not made at all'
that wasn't insulin related


the insulin one also was only the fancypants brand new and still patented fast-acting stuff, the normal slow generic insulin that'd been around forever was still dirt cheap.
every time that communist bullshit comes up I die a little inside
as though there should be absolutely no reward for developing new technologies and products, those who make new things need to be flayed and salted...

Why is the price higher in the US?

 

[Weasel]

weasel, you a californian that moved to the midwest
or just a homegrown commie?

name calling, oh joy we are at that part of the thread.


Where did I say I have a stance either way? OH I didn't.