Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: DoodleDawg

Not if the competition kept the savings as well.


That is not how free markets work. In fact, it’s the exact opposite of how they work. We’ve been so far from free markets that I don’t think a lot of people really know how they work.

Ultimately, the price settles at a point where if the competitors offering the product drop their price any further, they’d go out of business. In fact, sometimes, it is how the herd gets culled. And then when the weak ones do go under, the survivors raise the prices to where they can make a living AND compete.


104 posted on 11/17/2014 11:19:46 AM PST by cuban leaf (The US will not survive the obama presidency. The world may not either.)
[ Post Reply | Private Reply | To 98 | View Replies ]


To: cuban leaf
That is not how free markets work. In fact, it’s the exact opposite of how they work. We’ve been so far from free markets that I don’t think a lot of people really know how they work.

In theory perhaps. But we don't live in theory

106 posted on 11/17/2014 11:24:34 AM PST by DoodleDawg
[ Post Reply | Private Reply | To 104 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson