Thread

1. shevy-java · 1789929023 · focus · HN ↗

   About 2 years ago I bought some SDRAM or something like that, DDR4 or DDR5, don't recall offhand. A few months ago I looked at the price today, and it was over 3x as high. That's just insane. Governments need to do something against this abuse system that AI amplified here.

   1. pfdietz · 1789929223 · focus · HN ↗

      What abuse? Responding to supply and demand fluctuations isn't abuse, it's the proper operation of the market.

      1. dumberquestions · 1789929671 · focus · HN ↗

         Would if one industry gobbles up an important resource to the point that other consumers lose practical access to it, shouldn't there be limits?

         1. pfdietz · 1789929861 · focus · HN ↗

            If others are willing to pay more, that a signal that more value is created if the resource goes to them rather than to the more price sensitive customers.

            1. applfanboysbgon · 1789930621 · focus · HN ↗

               This logic falls apart completely when gamblers allocate one trillion to bidding up the price, denying access to the resource to people who are responsibly spending their own money. The ideal world of the imaginary perfect free market never takes into consideration the messiness of the real world, like the fact that people will spend extreme sums of money irrationally. It can take years for this effect to correct, damaging the market severely in the meantime.

               Alternatively, the money invested can be rational because it prices out competitors and establishes a monopoly, after which point the monopolist earns their absurd investment back with complete control of the market. This is also bad.

               1. pfdietz · 1789932145 · focus · HN ↗

                  You can reach any conclusion you want if you assume others are behaving irrationally. But why should I assume they are wrong instead of you being wrong?

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