With food, in particular, the value is in the supply chain not the ability to horde individual commodities. I don’t want 800 bananas, but I do want a banana stand on my corner where I can get fresh bananas daily.
In theory, markets are supposed to organically generate these social amenities and price them at the prevailing wage rate for the community, such that individuals bid into/out of existence goods and services through a pseudo-collective “expressed demand”.
In practice, choke points in the supply chain create opportunities for arbitrage and price fixing. So goods that should be cheap and abundant - like fruit - suddenly become expensive and scarce when a single enormous conglomerate (like the United Fruit Company) holds a vertical monopoly on the commodity.
This artificial scarcity is then used to justify price-rationing of the commodity. And pretty soon you’re selling people $500 Bijin Hime strawberries in a Japanese mega-mall, while working class people can’t afford basics.
With food, in particular, the value is in the supply chain not the ability to horde individual commodities. I don’t want 800 bananas, but I do want a banana stand on my corner where I can get fresh bananas daily.
In theory, markets are supposed to organically generate these social amenities and price them at the prevailing wage rate for the community, such that individuals bid into/out of existence goods and services through a pseudo-collective “expressed demand”.
In practice, choke points in the supply chain create opportunities for arbitrage and price fixing. So goods that should be cheap and abundant - like fruit - suddenly become expensive and scarce when a single enormous conglomerate (like the United Fruit Company) holds a vertical monopoly on the commodity.
This artificial scarcity is then used to justify price-rationing of the commodity. And pretty soon you’re selling people $500 Bijin Hime strawberries in a Japanese mega-mall, while working class people can’t afford basics.