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To: Poincare
demand is much higher than current supply.

Uh... demand is never higher or lower than supply in a free market. What you mean is that demand would be higher at lower prices competitive with substitutes achieved through greater supply.

I'm such a pedant when I see economic terms abused :-)
42 posted on 02/05/2006 9:40:08 AM PST by UnbelievingScumOnTheOtherSide (Give Them Liberty Or Give Them Death! - IT'S ISLAM, STUPID! - Islam Delenda Est! - Rumble thee forth)
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To: UnbelievingScumOnTheOtherSide

What I meant was that both producers of bottled unpasturized milk could sell much more if they had it to sell. They are both enlarging their herds and operations. I.E. the (polite) demand of the customers, who are frequently unsupplied with as much milk as they want, outstrips the supply of the product. In time one hopes that the supply will grow to meet the (also growing) demand. The high prices now paid for raw milk products helps the two existing producers to capitalize expansion and hopefully will attract new producers.

I am not an economist and apologise if I abused the terms.


57 posted on 02/05/2006 3:49:47 PM PST by Poincare
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