Baby Formula Shortage
There is a baby formula shortage in the U.S. today. Relaxing U.S. restrictions on imports would help. Congress is incapable of doing that. Continue Reading →
Tag Archives: shortage
Will There Be a Wine Shortage in 2021?
My guess: the global price elasticity for wine is -0.7. If 2021 output falls by 4.6%, the global price should rise by 6.5%. No wine shortage. Continue Reading →
Venezuela Update
The situation in Venezuela just keeps getting worse. But at least one media outlet finally has the correct analysis of the problem. It’s not low oil prices. It’s socialism. Period. Continue Reading →
Venezuela Revisited
This story would be funny if there wasn’t so much human misery involved. Venezuela has been dealing with true shortages for several years. I’ve written about this before (including the Continue Reading →
Venezuela News
Apparently many trucks in Venezuela are now sporting signs like this one. Rough translation: no food on board. The reason, of course, is massive food shortages caused by the government’s equally massive price controls. Food truck hijackings have become common. Ain’t socialism great? Continue Reading →
Venezuela Reminds Us Again Why Price Controls Don’t Work
Scarce goods and services (pretty much anything with a price) must be rationed somehow. Letting the price of a good adjust takes care of the problem automatically. If the price is below equilibrium, quantity demanded will exceed quantity supplied. The price will rise until the two quantities are equal. Continue Reading →