Kind of embarassing that I even know this, but their reasoning goes
Lower prices => lower profits
Lower profits => lower quantities supplied
Lower quantities supplied => people will die from lack of medicine
And if you assume that the supply is lowered enough, then tons of people die and it becomes genocide. Of course, the flip side of this that this person completely ignored is that price distortions can also occur in the other direction, where prices are high enough to entice more than sufficient production, but so high that it limits purchases from consumers. Currently, the American medical industry is firmly in that side of pricing (as evident by the fact that the rest of the world has much lower drug prices* and no shortages of drugs).
*even if you account for wage differences.
This is all econ 101 theory. Often times, you barely need to remember 101 shit to dunk on these so called “economics students”, who didn’t even properly learn the bourgeois version of the theory, only how to party and act arrogant online.
If something like that happens, it’s not the price control doing morally reprehensible killing, it’s the system and ownership of the means of production using them irresponsibly doing the killing. Maybe things that save lives don’t need a market to tell you they’re an important societal good.
If I try to escape an open air prison so you start doing an ethnic cleansing of that prison, we’re not in equal footing in terms of being bad.
The biggest selling point for a command economy is literally the housing crisis.
: “Can someone care to explain to me why we have a ‘housing shortage’ and rampant homeless problem yet as far as commodities go, housing is one of the most in-demand products? What do you mean market forces are stopping construction companies from making a killing and also lowering housing costs for everyone this should be a labor and capital win-win!”
How is the housing crisis real? Just plan your economy lmao.
We already live in a planned economy (the free-market absolutists will tell you all about government interventions in the housing market). In fact, pretty much all modern large scale industry runs on the principles of planned economy. The problem is that the economy is planned by the capitalists and their lackeys. What we need is nationalization.
I want to provide a bit more insight to the brain of this guy. They really beat the 1970s oil crisis into you at GMU as an example of price controls creating shortages. On top of this, the negotiating power of pharmaceutical companies is usually greater than a governments. Drugs are priced not by how much a consumer is able to pay but by how much the government doesn’t want their population to die, which is why you see drug prices in the $100k range. Pharmaceutical companies will happily let people die to get a better bargaining position.
Kind of embarassing that I even know this, but their reasoning goes
And if you assume that the supply is lowered enough, then tons of people die and it becomes genocide. Of course, the flip side of this that this person completely ignored is that price distortions can also occur in the other direction, where prices are high enough to entice more than sufficient production, but so high that it limits purchases from consumers. Currently, the American medical industry is firmly in that side of pricing (as evident by the fact that the rest of the world has much lower drug prices* and no shortages of drugs).
*even if you account for wage differences.
This is all econ 101 theory. Often times, you barely need to remember 101 shit to dunk on these so called “economics students”, who didn’t even properly learn the bourgeois version of the theory, only how to party and act arrogant online.
If something like that happens, it’s not the price control doing morally reprehensible killing, it’s the system and ownership of the means of production using them irresponsibly doing the killing. Maybe things that save lives don’t need a market to tell you they’re an important societal good.
If I try to escape an open air prison so you start doing an ethnic cleansing of that prison, we’re not in equal footing in terms of being bad.
The biggest selling point for a command economy is literally the housing crisis.
How is the housing crisis real? Just plan your economy lmao.
Well there’s plenty of planning that goes into it, it’s just in the direction of capital concentration at the expense of people being dignified
We already live in a planned economy (the free-market absolutists will tell you all about government interventions in the housing market). In fact, pretty much all modern large scale industry runs on the principles of planned economy. The problem is that the economy is planned by the capitalists and their lackeys. What we need is nationalization.
You will always have a planned economy. The only real question is “planned by whom?”
Obviously that goes without saying. The best solution is single payer healthcare and a nationalised pharmaceuticals industry.
However, a poorly implemented price control will fuck your economy and general welfare unless you have a communist economy and transcended money.
Maybe Trump will do a well implemented price control
I want to provide a bit more insight to the brain of this guy. They really beat the 1970s oil crisis into you at GMU as an example of price controls creating shortages. On top of this, the negotiating power of pharmaceutical companies is usually greater than a governments. Drugs are priced not by how much a consumer is able to pay but by how much the government doesn’t want their population to die, which is why you see drug prices in the $100k range. Pharmaceutical companies will happily let people die to get a better bargaining position.