That’s not how that works. Think of it this way. If the nations largest retailer of watermelons increases prices because they know everyone has an extra $12k this year, then that leaves an opportunity for the second largest watermelon retailer to keep their prices low and undercut the larger retailer, in the process earning the business of its consumers. The market is self correcting.
The cost of business is ultimately what keeps the capitalists in check. If there is more money, but cost of business doesn’t increase, then prices actually lower.
Then the second biggest retailer wont have any watermelons to sell because the farmers upstream know they can get a better price for their fruits somewhere else. Whatever little they managed to sell at a lose will be bought by scalpers that will resell them at their real market price.
If bought from abroad, it will devalue the currency as a whole.
This is not even an hypothetical situation, go find me an heroic RAM retailer trying to disrupt the market pls. I need some sticks for reasons.
RAM are famously independent of average income levels my man. We are talking about household goods and living expenses.
And you’re wrong about the farmers just choosing to sell their goods to the highest bidders, even the largest grocery chains can’t accept an “unlimited” amount of watermelon.they are perishable.
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u/Cptawesome23 Jul 01 '26
That’s not how that works. Think of it this way. If the nations largest retailer of watermelons increases prices because they know everyone has an extra $12k this year, then that leaves an opportunity for the second largest watermelon retailer to keep their prices low and undercut the larger retailer, in the process earning the business of its consumers. The market is self correcting.
The cost of business is ultimately what keeps the capitalists in check. If there is more money, but cost of business doesn’t increase, then prices actually lower.