APP - drought worsens food crops and raises specter of higher food prices

Don Quixote said:
some markets are already raising prices even though current food stuffs are not in short supply

can we say ripoffs

http://news.yahoo.com/worst-drought-since-1956-shrivels-corn-soy-crops-001346529.html
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On the one hand it can be called a ripoff. But on the other hand, it is simply pricing items according to what it will cost to replace them on the store shelves.

If I own a store, and buy 100 of an item, I need to price it so that I can buy 100 more (to replace the items sold) plus make a little profit. If I don't price it that way, I will either not make a profit (go out of business) or I will not be able to replace the items I sold, so my inventory will be smaller. Eventually, this will result in having nothing to sell.
 
WinterBorn said:
On the one hand it can be called a ripoff. But on the other hand, it is simply pricing items according to what it will cost to replace them on the store shelves.

If I own a store, and buy 100 of an item, I need to price it so that I can buy 100 more (to replace the items sold) plus make a little profit. If I don't price it that way, I will either not make a profit (go out of business) or I will not be able to replace the items I sold, so my inventory will be smaller. Eventually, this will result in having nothing to sell.
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in the food industry, turn over is almost daily - do prices go up significantly within a few days?

it still seems like a ripoff, does your reasoning work in the other direction?

would you reduce your prices if you knew that goods would be cheaper in following days?
 
don't worry about it. all you need to do is re-elect the democrats and if food gets too expensive, the gov will happily provide food for free, in accordance with the general welfare clause and the preamble to the constitution, Right?
 
should I assume that you disagree with the majority of liberals on here that claim that promoting the general welfare means the government shall provide for those who can't provide for themselves?
 
Don Quixote said:
in the food industry, turn over is almost daily - do prices go up significantly within a few days?

it still seems like a ripoff, does your reasoning work in the other direction?

would you reduce your prices if you knew that goods would be cheaper in following days?
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The drought is not an instant change in the prices. But yes, the reverse works too. If I own a store and want to attract customers, I reduce prices when I can, provided I still make the same profit margin.
 
SmarterthanYou said:
should I assume that you disagree with the majority of liberals on here that claim that promoting the general welfare means the government shall provide for those who can't provide for themselves?
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i disagree with generalizations - i prefer to deal with specifics
 
WinterBorn said:
The drought is not an instant change in the prices. But yes, the reverse works too. If I own a store and want to attract customers, I reduce prices when I can, provided I still make the same profit margin.
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my comment is directed towards those that are already raising their prices as if the drought prices are already here
 
Don Quixote said:
my comment is directed towards those that are already raising their prices as if the drought prices are already here
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As I tried to explain, pricing is partly set on what it takes to replace the items sold, unless it is a one-time sales item.

If I spend $100 to buy 50 items, and sell them for $2.20 each, I get to replace what I sold and make a profit.

However, if those 50 items now cost $150, I am only able to buy 33 instead of 50. If I keep that up I will have nothing to sell.

If the droughts have effected this years crop so profoundly, there will be no change in costs until next season.
 
WinterBorn said:
As I tried to explain, pricing is partly set on what it takes to replace the items sold, unless it is a one-time sales item.

If I spend $100 to buy 50 items, and sell them for $2.20 each, I get to replace what I sold and make a profit.

However, if those 50 items now cost $150, I am only able to buy 33 instead of 50. If I keep that up I will have nothing to sell.

If the droughts have effected this years crop so profoundly, there will be no change in costs until next season.
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the problem that ia am talking about is that some wholesalers and retailers are already raising their prices as if next years drought crop is already here
 
SmarterthanYou said:
don't worry about it. all you need to do is re-elect the democrats and if food gets too expensive, the gov will happily provide food for free, in accordance with the general welfare clause and the preamble to the constitution, Right?
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Yea! What the hell man. We all know it's the free market that counts. Who gives a rats ass if anyone goes hungry.
 
Derp Derp said:
Yea! What the hell man. We all know it's the free market that counts. Who gives a rats ass if anyone goes hungry.
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Mott, I know you have an extremely difficult time in seeing a bigger picture, but what do you think is stopping people from growing their own food? using their own food products? sharing their own food products?

it's a pretty simple answer, really. If you need me to, I can make it a multiple choice selection.
 
SmarterthanYou said:
Mott, I know you have an extremely difficult time in seeing a bigger picture, but what do you think is stopping people from growing their own food? using their own food products? sharing their own food products?

it's a pretty simple answer, really. If you need me to, I can make it a multiple choice selection.
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Please. Spare me the anile conspiracy theories. The only thing that prevents me from growing my own food is me!
 
Derp Derp said:
Please. Spare me the anile conspiracy theories. The only thing that prevents me from growing my own food is me!
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oh sure, nobody is gonna care if you have a couple tomato plants in your side yard, but again....bigger picture. If you cultivate a small farm in your backyard, the city is coming down on you. If you use unpasteurized milk, the feds are coming after you. If you raise a certain kind of pig, the feds are coming after you, and god forbid should you share any of your natural and organic foods with neighbors or a co-op, the feds will raid your ass.
 
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