Toilet paper will become a fungible asset.................
FROM ECONOMIST JUSTIN WOLFERS:
The problem is we have two equilibria:
1. Normal times: Everyone believes there will be toilet papers so no-one stockpiles.
2. Panic times: Everyone fears shortages, which leads them to stockpile, which creates shortages.
Here’s how we solve the self-fulfilling panics that cause bank runs:
1. The FDIC insures your money, so even if everyone else is running to the bank, you don’t have to try to beat them.
2. Lender of last resort: The Fed lends to banks facing these runs, so they can keep operating.
All of this says that what we need right now is a government-backed Strategic Toilet Paper Reserve.
That Reserve makes a promise that even if your local Costco an out, you still have the right to buy 2 rolls per week from the government’s stockpile.
The Strategic Toilet Paper Reserve removes the incentive to stockpile. It ensures that even if you see others running to the store to stockpile toilet paper, you no longer need to try to run to beat them. You can relax, knowing that you’ll still be able to wipe your bum.
Fear of a run on toilet paper — like a run on banks — is enough to create an actual run.
See Chuck Schumer and Indy Mac Bank, he knows all about this kinda stuff
*BREAKING NEWS*
I have the runs.
Film at 11.
“Runs” is the wrong word to use in an article about toilet paper.
Ping!
In the 1920s crash humans ran on the banks and got money, in 2020 humans ran on walmarts and got TP.
We’ve really progressed as a species.
Talking about toilet paper and “runs” of any kind belongs in a medical lab or a barroom.
Unless it’s describing the phenomenon known as “panic buying.”
The only thing we have to fear is fear itself.
You’re thinking of this place all wrong. As if I had the toilet paper back in a safe. The toilet paper’s not here. Your toilet paper’s in Joe’s house...right next to yours. And in the Kennedy house, and Mrs. Macklin’s house, and a hundred others. Why, you’re lending them the toilet paper, and then, they’re going to pay it back to you as best they can. Now what are you going to do? Foreclose on them?...Now wait...now listen...now listen to me. I beg of you not to do this thing.
That’s not economics. That’s psychology.
Luckily TP doesn’t have an expiry date. Although it takes up a lot of room, it doesn’t deteriorate. Always a good idea to have a month or two’s supply on hand so there is no need to rush out and stock up.
(1) If they're forced into quarantine, they'll need stockpiled supplies;(2) if they're thrown out of work, they'll need stockpiled supplies; and
(3) if civil unrest should occur, they'll need to stay in their homes, and they'll need stockpiled supplies.
I already had tons of toilet paper and extra cash as well as many other items. This is called being prepared, folks.
I am not a full on prepper but I think I am going to become one. All of what is happening now is proof of how quickly society can simply stop functioning.
JoMa