Re:The Price-Fixing Economy
by SideQuark on Friday October 13, 2023 @06:47PM
(#37876435)
>Did people buy less food after grocery stores raised prices? I doubt it.
Yes they did. So your premise needs checked. Read any news about what happens to food sales as inflation outpaces income and it's abundantly clear stores cannot simply raise prices without losing sales. There's such easy literature to find you don't need to "doubt it" when you can simply check it. For example [1]
Some consumers purchase at the limit of what they can spend - there's no elasticity for them.
Yes they did. So your premise needs checked. Read any news about what happens to food sales as inflation outpaces income and it's abundantly clear stores cannot simply raise prices without losing sales. There's such easy literature to find you don't need to "doubt it" when you can simply check it. For example [1]
Some consumers purchase at the limit of what they can spend - there's no elasticity for them.
[1] https://ajph.aphapublications.org/doi/full/10.2105/AJPH.2008...