supply&demand. real or fake?

supply&demand
real or fake?

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  1. 1 month ago
    Anonymous

    Clearly fake, the companies decide to raise prices for no reason to hurt Joe Biden's popularity.

    • 1 month ago
      Anonymous

      (you)
      Inflation is the result of printing money, by anyone, most significantly governments.
      Printing money causes inflation because whoever printed the money goes and spends it. By purchasing assets, they increase the demand for those assets. Whenever demand rises without supply doing the same, the price of the asset rises.
      Printing>Spending>Demand>Prices

      Where does the value which allows printed money to pay for these assets come from? Everyone who holds their worth in the currency printed.

      • 1 month ago
        Anonymous

        >most significantly governments.
        governments don't print money, the rothschild owned central banks do. governments borrow the printed money from them and then pay it back with interest.

      • 1 month ago
        Anonymous

        In fact the whole idea of currency is moronic, what's to stop me from making up my own pretend currency that is worth all of everyone else's currency?

        • 1 month ago
          Anonymous

          Me.
          I will stop you.

        • 1 month ago
          Anonymous

          It all hinges on whether other people are willing to accept trading in the currency you made up. Of course this is when institutions have power in regulating what currencies are allowed. But even that power is limited, since black markets can emerge.

          • 1 month ago
            Anonymous

            Then why wouldn't all people, who are unhappy that the elite controls the majority of wealth while most live well below that line, just stop using money altogether, that would certainly topple all the corrupt governments, no?

          • 1 month ago
            Anonymous

            If confidence in a currency is down then yes, it would be toppled. In fact, every currency across history has collapsed eventually

        • 1 month ago
          Anonymous

          That's why I've recently developed an interest for gold and silver products. Even if they're just decorative metal in the shape of coins, they're still worth what they're made out of.

        • 1 month ago
          Anonymous

          The acceptance of other actors in the market and the threat of violence by the state. Control over currency is a very powerful tool so states as a rule ensure they have a monopoly on the method of exchange.

      • 1 month ago
        Anonymous

        You've got the right idea, but what you're missing is that money is an asset with essentially fixed demand, and any time you print more than what's required to replace what's lost or damaged (doesn't just include bills in a burning house or coins in a lake, but also accounts that are forgotten or stuck in litigation, etc) then you're increasing supply and therefore reducing the value of all money.

        Also it's important to recognize that most money isn't "printed" by the federal government but by banks. Fractional reserve lending is essentially just duplicating money for the duration of the loan.

  2. 1 month ago
    Anonymous

    Real. And the natural selection present in a free market is what makes it the superlative way to organize human society. All governments are criminal organizations.

    • 1 month ago
      Anonymous

      >All governments are criminal organizations.
      Based AF.
      /thread

  3. 1 month ago
    Anonymous

    False.

    Look at the price of DNA sequencers, there was big demand and price dropped down.

  4. 1 month ago
    Anonymous

    I think we should reframe this and take a step back: even if the mechanics of supply and demand exist, it is problematic to affirm them because it undermines the States sovereign monetary policies.

  5. 1 month ago
    Anonymous

    Big if true

  6. 1 month ago
    Anonymous

    Fake. Most markets treat supply as a function of price and demand. A modified version could work, but as is, it's empty bullshit.

  7. 1 month ago
    Anonymous

    Manufactured demand, then supply isreal.

  8. 1 month ago
    Anonymous

    >the graph
    >as supply increases, the price increases
    ???

  9. 1 month ago
    Anonymous

    [...]

    So the price goes up? If the supply goes up and demand doesn't match, you need the price to go down to get buyers?
    So why should the price go up?

    • 1 month ago
      Anonymous

      Since demand is low, you need to higher prices to make even

  10. 1 month ago
    Anonymous

    [...]

    not science & math

  11. 1 month ago
    Anonymous

    Everything's fricking fake if you break it down

  12. 1 month ago
    Anonymous

    Guys, is here or IQfy the best place to talk economics?
    Econ is a social science so I feel like it's not really on topic on IQfy, but IQfy is all crypto shills and is terrible board outside a few threads.

    • 1 month ago
      Anonymous

      IQfy is. That place is overrun with Marxist fart huffers and pseuds who haven't read anything newer than Hayek or von Mises, but there are two or three anons who understand economics and respond in their moronic threads sometimes. There are zero here and presumably in IQfy.

    • 1 month ago
      Anonymous

      There's no place to talk economics, period. Not here, not anywhere. The field is /misc/-adjacent so any threads will naturally be shit up by people with an agenda who don't know what they're talking about. The "best" places to talk about economics are EJMR and r/neoliberal, and even they're shit.

      IQfy is. That place is overrun with Marxist fart huffers and pseuds who haven't read anything newer than Hayek or von Mises, but there are two or three anons who understand economics and respond in their moronic threads sometimes. There are zero here and presumably in IQfy.

      I'm an econ PhD. I just don't bother responding to these threads anymore. There's no point. No one actually talks about research or theory and people just want to reaffirm their idiotic priors.

      • 1 month ago
        Anonymous

        Do you have any sources for info on internationa financial flows? By that i mean net transfers of capital among countries by all sources, but basically investment flows.
        Its easy to find trade data, but not investment data.
        Also, do trade data include international interest payment? Does it include trade in services or just in goods?
        This topic interest me extremely, i think its not covered because it is adjacent to money laundering.

        • 1 month ago
          Anonymous

          >sources for info on internationa financial flows
          I'm guessing you're looking for something like the ITC's Trade Map where you get a breakdown by country pair and transaction type? I don't think there's good open data on that existing in a single place. The IMF has nice data on each country's international investment position but it's totals and not by country pair. Aside from that there are incomplete datasets combining information from various sources like FinFlows. It's possible all the information is out there and you just need to stitch it together from different places.
          >do trade data include international interest payment
          Interest payments don't count as trade so I wouldn't think so.
          >Does it include trade in services or just in goods?
          Usually both but service data is less reliable because it's harder to track and measure.
          >i think its not covered because it is adjacent to money laundering
          No topic is off limits. Maybe a topic hasn't been covered for a good reason (missing data, etc.), or maybe it's just that no one got around to it.

          • 1 month ago
            Anonymous

            >or maybe it's just that no one got around to it.
            Whatever the reason its just not covered, while its very easy to find trade or GDP data.
            This doesnt bother you, a PhD in economics?
            You think you can understand economics without knowing how much capital is moving from a country to the next?

          • 1 month ago
            Anonymous

            >This doesnt bother you, a PhD in economics?
            Sure, but I don't work on international capital flows right now so it's not my problem yet. There's missing or hard to find data all over the place. It's up to people like myself to collect the data and publish it to the wider public. I know people who work at the IMF so maybe I'll ask them if they've got more detailed data they can publish on their website if I remember.

          • 1 month ago
            Anonymous

            >>This doesnt bother you, a PhD in economics?
            >Sure, but I don't work on international capital flows right now so it's not my problem yet.
            This arrogant homosexual is proud of his ignorance

          • 1 month ago
            Anonymous

            If you've ever done science & math you'd appreciate the value of staying in your lane

      • 1 month ago
        Anonymous

        EJMR is fun though. Reminds me of IQfy in its youth.

    • 1 month ago
      Anonymous

      I would be happy to talk about economics, especially the more econometric aspects of it anon. There are some pretty sharp economists in /psg/ on IQfy.

  13. 1 month ago
    Anonymous

    the notion of price equilibrium is real, however it is not universally true that high demand rises prices or the opposite. Theres some exceptions to that, however its a good guiding rule. Just dont take it as some law of nature, its just a common sense observation

    • 1 month ago
      Anonymous

      thst, btw, is what any good social science should be, some body of knowledge that is basically true, it doesnt have to be accurate to infinity sigma as long as the limits are recognized
      the biggest problem in economics is knowing what the hell is going on in the economy because companies are not going to reveal to you their business information, most of the economy is opaque to researchers

  14. 1 month ago
    Anonymous

    Corporations now offer demand pricing, most recently it is the Wendy's flex pricing. Before it was Uber's surge rate.
    The reality is that these do not reflect market rates at all. We unironically see what happens when single firms are negotiating pricing terms.
    Consider government spending and how taxes only ever go up.

  15. 1 month ago
    Anonymous

    Psyop because they create demand for what they supply. Instead they should create supply for what we demand.

  16. 1 month ago
    Anonymous

    Clearly fake. There is no demand for incest porn, yet the porn sites are being flooded with this garbage.

  17. 1 month ago
    L Acorn

    I supply my dick to your mom who demands it

  18. 1 month ago
    Anonymous

    Real. Very real. The realest.
    The current price that balances the supply and demand of this financial instrument should ideally well reflect all public information affecting a boundedly rational estimate of the future supply-demand balancing point of the financial instrument for a reasonable time horizon. The price of the instrument is underlied by the price of the item it references: the decreasing curve for demand as a function of price meets the increasing curve for supply as a function of price.
    This is supply and demand. Suppose, theoretically, that there was an imbalance between our financial instrument and the actual curve. One could simply look at the greeks and trade against this imbalance, and, in fact, many firms do this (and at high speeds with fast physical connections no individual could compete with without a billion dollars lying around to buy up all the property - obviously, these firms are completely loaded. They make money. Lots of money. All the money.) So, greeks will effectively adjust themselves on an instrument - or its underlier - as firms will trade as such (which makes this happen) to make their profits.
    As further proof, assume the contrary. Observe that in this contrary scenario, price has no relation to supply, meaning an extreme level of high demand for a product with very limited supply does not predict a high price. This is clearly absurd, so we can reject this scenario.

  19. 1 month ago
    Anonymous

    How do I interpret/read this graph?

    • 1 month ago
      Anonymous

      The supply curve describes how many people are willing to supply something at a given price. The more things are supplied, the higher the price needs to be to coax more suppliers into the market.

      The demand curve describes how many people are willing to demand something at a given price. The less expensive something is, the more people will demand it.

      The equilibrium quantity exchanged and price are at the intersection of the supply curve and the demand curve when everything that's being supplied is purchased by the demand.

    • 1 month ago
      Anonymous

      Supply = Goods
      Demand = People buying goods.

      From left to right.

      >left
      With low supply and high demand, there is a market thats not satisfied.

      >middle
      With right amount of supply and right amount of demand, the market is working efficient

      >right
      With a lot of supply but very little demand, nothing is selling.

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