Forgot your password?
typodupeerror

Comment This is NOT a market solution (Score 1) 475

The reason prices are allowed to rise in a free market is that more sellers would enter the market seeking the excess profits, expanding the limited supply of that good. Eventually prices would return to their original levels. In this case there is NO limited supply, and NO increase in supply as prices go up. The "Perfect Competition" market structure fom the textbooks simply does not apply to this case because prices are not playing a role in the allocation of resources.

Slashdot Top Deals

It isn't easy being the parent of a six-year-old. However, it's a pretty small price to pay for having somebody around the house who understands computers.

Working...