• GreenMario@lemm.ee
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    1 year ago

    You forget demand as people gonna want their milk. Nobody is gonna stop producing milk completely.

    Do capitalists not believe in the free market? If Farmer A and B stop because prices crashed, Farmer C will see an opportunity to fill in the void and produce milk.

    But to destroy it to protect the markets should be a capital offense.

    • not_that_guy05@lemmy.world
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      1 year ago

      Ok Farmer C, by the time they start establishing a stable supply what will happen? Not everybody lives close to a farm or suppliers. What will cities do? What will be the price? You think it will just go to $1 for a gallon when there is no stable supply of suppliers to provide milk?

      Look at prices of vehicles the more scarce it became the higher the price went. New companies are filling in the void, but prices take longer to fall to reasonable prices as it takes the new companies time to establish a stable supply and recognition of reliability.