Chapter 2 Curiosities

Sometimes economists like Russell Roberts and I philosophize too much... In one sense, the seller cannot have the upper hand because they have to sell a product at a price the consumer will buy, and in the same sense, the buyer has to pay the price given or go without, so in that sense, the seller nor the buyer has the upper hand. But, think about over the long term. Professor Lieber used the examples of prices of eggs falling in the book. While producers would have loved to conspire to hold back production, the fear of one producer expanding leads all the producers to expand - drastically lowering the price of eggs. The pursuit of more profits through excellence leads to consumers being benefitted, regardless of whether the entrepreneurs wish they could restrict supply - competition among suppliers means the consumers always win.