- The article gives an interesting overview of the history of hard bread, but doesn't mention how Newfoundlanders eat it today. In a fish soup? With tea? Pure? Or all of the above?
- Without fish and brewis Newfoundland is just... a big rock.
- Wow, this is actually interesting, I had not heard of people eating hard attack since the American Civil War. But looking at a map, it doesn't look that difficult to get to, so I'm curious why not just fly it in?
- Because no one else really eats it or makes it. AFAIK that Purity factory is the only one in Canada making it and outside of Newfoundland it's hard to find on a normal day even in the rest of Atlantic Canada. And when you do, it's the Purity version shipped over. It's very much a Newfoundland food.
- >Grocery stores across Newfoundland and Labrador have been struggling to keep hard bread in stock since a fire at the Purity factory in March put a crimp in the company’s baking operations.
Is it really that hard to raise the price to keep it in stock?
- How does that solve the problem?
I love how in economics, a shortage can be solved by increasing the price instead of by increasing the quantity. It really makes you understand that the field of economics uses stupid definitions of words.
- If you are trying to slow down sales to the point that you are able to consistently replenish stock before the last batch sells out, raising the price will reduce the volume of hard bread being sold. At some point the volume should be low enough that it stops going out of stock.
- Raising the price doesn't increase the supply, it just selects who can access it. Most of the people will still not get it, just for a different reason.
- A higher margin increases the incentive for people to make more, though.
- Probably not, right? Demand is already there. The factory is already incentivized, it’s just damaged and needed time to get back to full capacity. A contender isn’t just going to spring up because prices are temporarily high.
Even if you already had a factory that could easily be converted to this product, you’d have to factor in the switching cost, opportunity cost, shipping, marketing and regulatory stuff. This likely offsets the consumer’s willingness to pay extra during the shortage, and as soon as the original factory is back, they’re going to price you back out. They’re already operational, as per the article.
- Would you make a hard bread factory if the price was higher? How high?
- That implies that everything with a price is always out of stock.
- You know what's really oversupplied in this subthread? One sentence contrarianism.
(not that I haven't done it myself occasionally, but guys you really are not helping anyone here including yourselves)
21 points by empressplay 2 days ago | 21 comments