On 2024-08-22, Paul S Person <***@old.netcom.invalid> wrote:
> On 22 Aug 2024 13:50:01 GMT, Chris Buckley <***@sabir.com> wrote:
>
>>On 2024-08-21, Paul S Person <***@old.netcom.invalid> wrote:
>>> On 20 Aug 2024 15:05:59 GMT, Chris Buckley <***@sabir.com> wrote:
>>>
>>>>On 2024-08-19, Paul S Person <***@old.netcom.invalid> wrote:
>>>
>>><snip-a-bit>
>>>
>>>>> The claim was that she proposed "freezing food prices and making
>>>>> grocery stores report any changes in their prices".
>>>>>
>>>>> Your quote simply doesn't back that up in any way.
>>>>>
>>>>> But keep on trying. Who can say what Kamala may have said, say, 15
>>>>> years ago in a private conversation now being outed by someone from
>>>>> memory with no backup at all. Or some source of similar likely
>>>>> validity.
>>>>
>>>>Yes, freezing prices is a slight exageration of putting price controls
>>>>on, but only slight. The mechanisms for enforcing them are the same: how
>>>>do you envision them as different?
>>>
>>> It is a PTTP, pure and simple.
>>>
>>> I don't "envision" either as likely any time soon.
>>>
>>> Price /controls/ imply rationing. As during WWII. You control the
>>> prices because otherwise scarcity will cause them to rise.
>>
>>You are using your own private definitions again. Price control is
>>a general economic term that includes things like price gouging laws,
>>price freezing, rent control, minimum wages. None of these imply
>>rationing, which is a logistics term. Both rationing and price controls
>>can be used to solve the same problem, but if anything, it is rationing
>>that implies price controls.
>
> And yet it is you yourself who asked me to /distinguish/ them.
> This says a lot about your character, you know.
What does it say about my character? Be precise.
You make no logical sense at all with your statement. "A implies B" does
not in any way mean that A and B are identical.
If A is "I have at lest 5 apples"
and B is " I have at least 3 apples"
then A implies B is a true statement.
But that does not mean that A and B are the same!
I didn't ask you to distingush anything. I said flatly that price
controls do not imply rationing. I gave 4 subcategories of price
control, all of which do not involve rationing. You were wrong.
Rather than address that fact, you invent a whole new theory of logic,
evidently to insult me.
>>> Price /gouging/ is handled by putting people in prison. It is a crime.
>>> Or should be. The problem, of course, is telling when it is happening
>>> -- and who is doing it.
>>>
>>>>> This is actually an /excellent/ first policy -- going directly at the
>>>>> malefactors.
>>>>
>>>>What malefactors???
>>>
>>> That's my point: the people actually doing the price gouging should be
>>> identified before solutions are proposed.
>>>>>However, I would suggest she have someone actually
>>>>> /study/ the situation to see if the problem she is trying to solve
>>>>> actually exists -- that is, that the higher grocery prices actually
>>>>> /are/ price-gouging and not legitimate economic behavior.
>>>>>
>>>>> There is no point in solving a problem that does not exist.
>>>>
>>>>I agree with all of this. I would have no objection (other than a
>>>>mild waste of time and money) if she had proposed an urgent study of grocery
>>>>prices and whether "price gouging" is happening. But she didn't.
>>>>
>>>>She said that the problem exists and that it is very urgent for the
>>>>federal government to have rules and regulations right now to stop them.
>>>>That it is so clear cut that she will have rules in place within 100 days.
>>>
>>> Only if the laws exist already. Some have indicated that new laws
>>> might be needed. That could take a while to sort out. Particularly if
>>> the Republicans control either or both Houses of Congress.
>>
>>That wasn't part of her claim. She will have new clear rules within
>>100 days if elected.
>>
>>>>Why do *you* believe that it is an excellent policy to have the
>>>>federal government involved in regulating grocery prices?
>>>
>>> I said it was an excellent /first/ policy. I did not say it was
>>> excellent as such. It is a good place to start. She can make some fine
>>> declarations from the Oval Office on the topic. Whether it actually
>>> goes anywhere who can say? This is politics, after all. Did the Wall
>>> get build with Mexico paying? Don't think so.
>>
>>What a patronising view of Harris. It's a first policy so of course
>>it isn't expected to be of a high quality. She will learn to play with
>>the adults later on.
>
> It is a political campaign speech. Just like Trump's Wall, paid by
> Mexico. What happens after she gets in will become clear over time.
> Quite possibly little or nothing -- as with Trump's Wall.
>
> OK, the chance of someone scamming people by claiming to be doing it
> on his own (as happened with the Wall) is probably a bit less.
How does that affect your patronising statement? You're the one that is
saying it is excellent only because she is a beginner at issuing policies.
(So you are saying nothing happening with Trump's wall is Trump's fault
because he didn't follow through? I thought that the Democrats shutting
the entire government down for 35 days rather than fund the wall had something
to do with it. Not one of the Democrats' shining moments, and not one they
are mentioning now for some reason!)
>>>>> Note: I buy a lot of store brands, and some of those, at least, have
>>>>> dropped back down, at least a bit. Those concerned about grocery store
>>>>> reporting should keep two things in mind:
>>>>> 1) If the stores always mark up the items they sell by the same
>>>>> amount, then /they/ aren't gouging.
>>>>> 2) If restricted to larger stores, or chains, then the report would
>>>>> probably be done by a computer anyway. We need not picture 100 new
>>>>> employees just to keep track of prices.
>>>>
>>>>It's done by a computer, it's simple? Tell that the federal government -
>>>>how many multi-billion dollar computer programs have they abandoned over
>>>>the years?
>>>
>>> Do you really believe that a major corporation is somehow unable to
>>> tell exactly where every penny received from something it sold goes
>>> to? Cost of item, cost of overhead, cost of wages, profit, and any
>>> others? Not the CEO, perhaps, but some weenie three or four levels
>>> down in Accounting surely can.
>>> If they can't, then /they can't tell which lines/products make the
>>> most money for them/ and how can they make intelligent business
>>> decisions if they literally don't know what they are doing?
>>
>>No, they can't. When they sell an item, they do not know what they
>>paid for it and what the overhead was. They know all the various
>>prices that they paid for that item category (eg $1 last month, $1.10
>>the month before) but they don't know which of those costs apply to
>>this particular item. They know what the expected wastage is of a
>>produce item, but they don't know whether the shipment for this
>>particular apple happened to be mostly spoiled because they don't know what
>>shipment it came from.
>
> Then they aren't in business. They are just pretending.
No. I know of no grocery store out there that is able to match every
item sold with the amount they paid for it. You are living in your
own fantasy world of your own imagination.
>>When your wholesale cost of eggs suddenly triples, what retail price
>>do you start charging and when? Some eggs will probably be sold at an
>>enormous markup, but that is not price gouging.
>
> /That/ would be an economic justification for an increased markup:
> having to make enough from the current items to purchase more.
>
> But, of course, they would have to know what they paid for the current
> items. According to you, they know no such thing, and so cannot tell
> if the price of eggs is going up or not.
>
>>How about when everybody else's wholesale cost of eggs triples and they
>>double their retail prices, but you have a longer-term contract with your
>>supplier and are still paying the original rate? If you double your
>>retail price, you are not price gouging according to any legal definition
>>that I know of. Price gouging is defined as excess profits when selling
>>above the market rate.
>
> Perhaps not, but if they are charging just as much when they can
> charge less, they are either in an illegal price-fixing cartel or are
> not in business.
No, you make money by charging what the free market allows.
>>That's a major reason why Harris's proposal is nonsense. Price gouging
>>is defined in terms of selling above market prices, and grocery
>>markets are local, not national. The state governments are reasonable
>>places for price gouging laws; the federal government has no expertise
>>in local markets. (The federal government absolutely has a place in
>>price collusion laws, forbidding industries from agreeing to
>>artificially high prices. But unfortunately for Harris, those laws
>>already exist.)
>
> The laws exist but are they being enforced? The last memorable
> antitrust action I recall was Microsoft, which was very interesting in
> explaining just why OS/2 failed, but didn't result in splitting up
> Microsoft into competing units with no common direction.
>
> Suppose what she is /really/ saying is that the antirust laws will be
> applied to the food industry?
Antitrust breakups and price collusion/fixing are different things.
Wikipedia lists half-a-dozen major price fixing prosecutions in the past 20
years; there are many more minor ones both at the federal level and
at the state/local level. It's constantly being looked at.
>>>>My supermarket has very low prices on basics ($2.49/gallon for milk),
>>>>but has a large selection of luxury and prepared items with a much
>>>>higher markup (I'm sure some of the sushi items are 200% or more). Are you
>>>>saying the federal government should have a say in this strategy?
>>>>
>>>>Their fruit prices normally vary by as much as a factor of 3 or more
>>>>throughout the year - it matters if they are getting them from local
>>>>orchards or Brazil. Are you saying the markup has to be the same
>>>>throughout the year?
>>>
>>> No. But it has to not triple when a pandemic hits unless there is a
>>> good economic reason for it. And "raking it in while I have the chance
>>> and devil take the hindmost" is not a good economic reason.
>>
>>But where do you draw the line? Be precise.
>>
>>Again, the issue is not the need for price collusion laws, those already
>>exist. The emphasis has to be on keeping fair competition in the
>>marketplace. Most of the conspiracy theories I've seen about grocery
>>prices imply collusion. But that's a complaint about enforcement of
>>existing laws.
>
> And it may be Kamala's complaint as well. Which she should be able to
> remedy as President with a few judicious appointments and
> speechifying.
>
>>> Which is why the effort, confined to the major corporations, should
>>> also start with historical research so an idea can be formed of what
>>> is normal and what is not.
>>
>>>>Just what is this magical computer keeping track of at the federal level?
>>>
>>> What magical computer? I don't think they exist ... in this reality.
>>>
>>> Maybe in PTTP-land. In fact, I would think Russia would be a good
>>> place to look for such a machine. Or China.
>>
>>You're the one that said all this is simple because it can be done on
>>a computer! Ridiculous.
>
> I said that a /major corporation/ can provide the historical and
> current data that they based the decisions being investigated on
> without hiring 100 clerks to write the data on parchment with quill
> pens by using their computers to produce it.
As I said, you are living in a fantasy world if you think you can get
all the information you've cited that easily (even if it did exist,
which it doesn't). If you restrict the info wanted to for a specific
item, the quantities of it sold on particular dates at what prices,
then a major supermarket chain might be able to get away with only
spending tens of millions of dollars and a hundred employees (most
employees will be verifying compliance with the federal regulations,
not actually getting the info.) That won't be enough info; the feds
have to handle cases like when investigating eggs: "buy a loaf of
bread for $8 and a dozen eggs will only cost $2", but at least is
doable.
But if you add costs and profit margins into the info wanted, you add
a couple of orders of magnitude to initial costs and employees needed.
I worked as a research subcontractor to the federal government for 10
years. Not a single overall contract was signed by the time I started
any subcontract. The longest, with Cornell University, took over 10
months to sign. All of that time on every contract was spent on
agreeing how costs and overhead should be accounted for. (And Cornell
signs hundreds of federal contracts every year.) Verifying accounting
to the federal government is very expensive. Saying a computer (whether
magical or not) solves the problem is ridiculous.
Chris