To those whining about the GameStop Fiasco and are crying for regulatory action
Maybe don’t become a publicly traded company if you don’t want to be opened up to the possibility to be squeezed out by players that have more stake in you losing than you winning and decide to make a “good investment” by calculating netting a positive balance by the time the plan is executed. This is the nature of “corporate” economics. It resembles a cartel market structure, study up.
In a cartel market structure, the price is set explicitly by a few players that agree to price setting. Anybody that increases supply is discouraged to do so because the profitability of restricting supply is so high. This is the reason why those who enter the market are “dealt with” by either violence or flooding the market to suffocate those who aren’t able to operate at a loss (due to economies of scale, or lack of cash on hand that can ride the tide of the major players).
In a corporate market structure, the price is set “implicitly” because explicitly setting setting the price is illegal in the markets in which the product is in high demand. Regulatory commissions are set up to regulate the market to give oversight against monopolistic trusts, but this only aids in creating pockets of legally protected markets (with plenty of red tape), in which only the very wealthy are able to sustainably enter said markets.
To the losers; “I’m sorry you didn’t realize that because you didn’t study enough about economics, nor possess the capacity to extend your critical thinking to understand the underlying mechanisms that steer economic outcomes… we call this human behavior. If you are reading this, then you have been warned. Don’t get burned again.”
Queue the people that think they should pass more laws to protect them from themselves…
And who the fuck shops at gamestop anymore? The paradigm shifted over a decade ago…
…that is all.
Article from r/Libertarian: For a Free Society