this post was submitted on 20 Aug 2023
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[–] Franzia@lemmy.blahaj.zone 4 points 1 year ago (1 children)

The invisible hand is just bullshit and prices in our economy are often centrally planned by a monopoly or a cartel that decides how an industry ought to set prices.

Current day Economics is just propoganda.

[–] intensely_human@lemm.ee 2 points 1 year ago (2 children)

What are some centrally planned prices?

[–] aesthelete@lemmy.world 4 points 1 year ago* (last edited 1 year ago)

Not the OP and IMO centrally planned prices doesn't really apply to cartels, but a cartel set price that nearly everyone is familiar with is OPEC+ prices for petroleum.

[–] Franzia@lemmy.blahaj.zone 1 points 1 year ago

I think Aesthelete better cleared up what I am trying to say using OPEC as an example. Other versions of this behavior is in Dairy / Milk in the US. They're wasting millions of gallons of milk in order to keep the price higher where it's set by a central planner in the industry. Farmers will choose certain days to sell their crop as to try and get the highest price - and this is an innocent behavior - but capitalism literally has a built-in mechanism to encourage this form of price stability. Another bad example is poultry production in the US. There's 4 companies only, and small farmers actually license and rent all of the stuff from the big 4. These farmers are treated so terribly, and at the end of the day they don't actually get to sell or set the price. The central company does.