Re:Maine Is Drowning in Lobsters
by briandear on Tuesday May 23, 2017 @09:59AM
(#14401206)
Is the goal to employ the largest number of people possible -- or provide a good to the public at the lowest cost and highest quality.
You lower the price of lobster because of efficiency and better sustainability, you increase the margins for restraurants that sell it and thus that industry can grow and expand, providing both increased tax revenues as well as economic expansion: more successful restaurants improves the entire economy as support industries also expand. The fundamental question of economics is really about the desire to protect th vocal view (lobstermen) vs. the overall economy at large.
Regulation is necessary however such regulation should be tilted towards favoring substainability and efficiency over specific groups: i.e. lobstermen. A lobsterman is benefited less by overall efficiency than the overall economy. It's in his best interest to have a restricted supply and higher prices. If a lobsterman had his way, the lobster he catches in his single boat would be the only lobster available to the market. Lower prices and greater demand doesn't benefit him -- his boat holds a finite amount. A greater supply doesn't benefit him either -- after he fills his boat. His interest in sustainability only extends as far as his own boat -- beyond that, why would he care -- excess supply means lower prices so he would have to work harder to make the same profit. Corporate entities can simply buy more boats.
You lower the price of lobster because of efficiency and better sustainability, you increase the margins for restraurants that sell it and thus that industry can grow and expand, providing both increased tax revenues as well as economic expansion: more successful restaurants improves the entire economy as support industries also expand. The fundamental question of economics is really about the desire to protect th vocal view (lobstermen) vs. the overall economy at large.
Regulation is necessary however such regulation should be tilted towards favoring substainability and efficiency over specific groups: i.e. lobstermen. A lobsterman is benefited less by overall efficiency than the overall economy. It's in his best interest to have a restricted supply and higher prices. If a lobsterman had his way, the lobster he catches in his single boat would be the only lobster available to the market. Lower prices and greater demand doesn't benefit him -- his boat holds a finite amount. A greater supply doesn't benefit him either -- after he fills his boat. His interest in sustainability only extends as far as his own boat -- beyond that, why would he care -- excess supply means lower prices so he would have to work harder to make the same profit. Corporate entities can simply buy more boats.