Profit is a form of rational behavior. And a free market based on profit, that also has multiple players is the best of all worlds.
Take wide screen, flat panel color TVs for example. The "free market", the chase for profit and the American willingness to chase down the best deal keeps bringing the price of this technology down to the point where a set that cost $4000 - $5000 4 years ago now costs less than $1000. And during the same time frame, picture quality has improved immensely. Gas and diesel are a unique situation. The refineries are running at capacity. Because of this, all the major players are really in a "no compete" situation. Get the refineries to the point where they are at about 80% production and then the same competitive forces that affect wide screen, flat panel color TVs will affect the price of gas. This is exactly what happened with Harley Davidson. My 92 Dresser was worth exactly what it cost new - $17,500, even 10 years later. This is because Harley-Davidson had every new bike sold before it was manufactured - they could not keep up with demand. Then Harley-Davidson built a new manufacturing facility and production caught up with demand. More recently the Japanese cruisers have gotten nicer and have made inroads into the market. The result is that Harley-Davidson announced its first serious price reduction since the early 70s and my 92 dresser value has dropped down to about $12,500. Thanks, Tom Hargrave www.kegkits.com 256-656-1924 -----Original Message----- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of Peter Frederick Sent: Sunday, April 20, 2008 8:16 PM To: Mercedes Discussion List Subject: Re: [MBZ] [Banned] I fill up the 140 with diesel today There is no such thing as a" free market" -- all markets are controlled by the major players. The only real question is who controls them. Also, profit drives markets, not rational behavior...... Read "The New Industrial State" by John Kenneth Galbraith. Interestingly, it was written more than 30 years ago, more true today than then. Peter _______________________________________ http://www.okiebenz.com For new parts see official list sponsor: http://www.buymbparts.com/ For used parts email [EMAIL PROTECTED] To Unsubscribe or change delivery options go to: http://okiebenz.com/mailman/listinfo/mercedes_okiebenz.com No virus found in this incoming message. Checked by AVG Free Edition. Version: 7.5.503 / Virus Database: 269.23.2/1387 - Release Date: 4/19/2008 11:31 AM No virus found in this outgoing message. Checked by AVG Free Edition. Version: 7.5.503 / Virus Database: 269.23.2/1387 - Release Date: 4/19/2008 11:31 AM _______________________________________ http://www.okiebenz.com For new parts see official list sponsor: http://www.buymbparts.com/ For used parts email [EMAIL PROTECTED] To Unsubscribe or change delivery options go to: http://okiebenz.com/mailman/listinfo/mercedes_okiebenz.com
