Just a Idea, "Ammo Price Gouging"

[CulpeperMM]

If you don't want to be "gouged," don't pay the asked price and go without. If the item is worth more to you than the money, pay it and shut up.

yup... it's called a free market.

thanks for this post, friend.
(a friend of free markets is a friend of mine)

 

[waloidian]

you also have a lot of newcomers to the world of firearms and they are getting sucked right into the fear mongering, which in turn plays right into the price inflation. Same story for the price of AR's, they have skyrocketed based on fear alone.

 

[dross]

you also have a lot of newcomers to the world of firearms and they are getting sucked right into the fear mongering, which in turn plays right into the price inflation. Same story for the price of AR's, they have skyrocketed based on fear alone.

Freedom comes with tradeoffs. Lack of information can be costly to those who lack it. Making decisions on emotion can be expensive as well.

This is a similar situation to the gas issues we had last summer. You heard lots of blame directed towards the "speculators." The speculators actually helped stabilize prices, but I won't even go into that.

If speculators were bad because they bought lots of gas, gambling that gas prices would rise, and then prices rose, they were bad. What about when they bought lots of expensive gas on the belief that prices would continue to rise, but then the bottom fell out of the market? They had all that gas to sell but they couldn't get even as much for it as they had paid. Did they become good people then?

It would be funny if it wasn't sad. I watched the Dems in Congress with straight face say that gas prices going up is a sign of market failure, and then they they said that house prices going down was a sign of market failure.

To paraphrase the Godfather, "It ain't personal, it's just business."

 

[Scutter01]

I saw the same thing in the early '90's under Clinton. The prices will go down when the fear goes down.

Don't forget that Clinton passed the first AWB. The fear was completely justified.

 

[dross]

Don't forget that Clinton passed the first AWB. The fear was completely justified.

Exactly. If you bought one or more of the "enhanced price" AR's in the last couple of months and there's a new ban, you were a genius. If they don't get a ban through, and prices go down, you lost out. Nobody got gouged.

 

[witham79]

i believe sales will have to go down,that or the gun stores will just not sale any

 

[in812]

If they pass the stamping bill, which is likely to get turned down again. Guess what all the ammo you have now, will be considerd illegal. Which means all will have to be disposed of. That's why I make sure I have enough incase of emergeny, but not so much that I would need a damn box truck to move it.

WTF I dont think so it would be grandfathered

I guess all those guns bought pre 94 during the 94-04 AWB were "illegal guns" also

 

[wetidlerjr]

I came here because "price gouging" is one of my hot-button phrases, but I see Dross is already carrying the ball on this one, so I'll just add my "hell yeah" to his post.

That's nice but what most people mean by "price gouging" is when the price is out of proportion to simple "supply and demand". If the supply drops 50% than the price would be 50% higher (in a perfect world) but when the price goes up 75%, most consider that "price gouging" and they react with disappointment and anger. It not a difficult concept to understand and whether or not it relates to real world economics doesn't matter much to the aggrieved party. Actually, if one believes they have been "gouged" then he may not buy a product and the "demand" would go down and (in theory) so will the price. Perception to many is often everything. If you think you are being "gouged" then you are. I appreciate the attempts to lecture me on free markets but true free markets exist only in the mind.
Personally, if I don't like a price, I look elsewhere for a lower one or I don't buy it.

 

[-XL-]

If, in the near future, a box of premium defense ammo goes up to $40 and I have only $20 in my wallet, should I just let the mugger have my wallet?

 

[Dr Falken]

What I wonder, and I can't remember what the presidential order under Clinton was called, but basically it called for the destructin of "surplus" ammo and other material from the military and not release it for sale to civilians. Millions of dollars of US taxpayer money destroyed instead of being recouped. Now why don't they repeal that law or is there a worry that terrorist groups will get ahold of this stuff. I think that the flood of the military "reject" ammo would lead to a substantial reduction in prices. Maybe I'll write my congressman about this.

 

[dross]

That's nice but what most people mean by "price gouging" is when the price is out of proportion to simple "supply and demand". If the supply drops 50% than the price would be 50% higher (in a perfect world) but when the price goes up 75%, most consider that "price gouging" and they react with disappointment and anger. It not a difficult concept to understand and whether or not it relates to real world economics doesn't matter much to the aggrieved party. Actually, if one believes they have been "gouged" then he may not buy a product and the "demand" would go down and (in theory) so will the price. Perception to many is often everything. If you think you are being "gouged" then you are. I appreciate the attempts to lecture me on free markets but true free markets exist only in the mind.
Personally, if I don't like a price, I look elsewhere for a lower one or I don't buy it.

Two problems with this position. One is that you usually don't know what the factors are that cause a rise in prices. The price is usually the one piece of information that can tell you what the market is doing. How do you know how much the supply has changed, or what the other factors are that are affecting the price? If one store is charging twice as much as another, there must be some reason they can get their price, or else they won't sell any of their product. It's hardly gouging if you can walk across the street and get the product for half the price, in that case it's just stupid business practice.

Perception can be everything, you say. True, but that doesn't change much. If you perceive that I'm charging too much and don't shop with me, that's your choice, but what am I to do if I'm charging the price I need to charge in order to make money? Should I sell my product at a loss to feed your misperception?

Think about this: If everyone is raising their prices on a product, there must be a good reason, or else someone would undercut their competitors and make a bunch of money. Unless you think there is collusion between all the people selling ammo, in which case I'd like someone to explain how they got thousands of little gunshops on board. It just doesn't make sense.

Most people tend to look at the market from their own self-interest. As I pointed out, people think the market is broken when gas prices are going up, and at the same time think it's broken when house prices are going down. That makes no sense, which is the trouble with using your emotions as an tool for analysis.

My purpose in replying to this post is to hopefully change some people's false perception.

 

[CulpeperMM]

My purpose in replying to this post is to hopefully change some people's false perception.

(this would be repped, but i'm all out of love to spread today )

good luck on changing the hearts and minds... people have been swimming in "somebody do something" socialism too long to have any grasp of market mechanisms for correcting imbalances.

 

[wetidlerjr]

Originally Posted by wetidlerjr
That's nice but what most people mean by "price gouging" is when the price is out of proportion to simple "supply and demand". If the supply drops 50% than the price would be 50% higher (in a perfect world) but when the price goes up 75%, most consider that "price gouging" and they react with disappointment and anger. It not a difficult concept to understand and whether or not it relates to real world economics doesn't matter much to the aggrieved party. Actually, if one believes they have been "gouged" then he may not buy a product and the "demand" would go down and (in theory) so will the price. Perception to many is often everything. If you think you are being "gouged" then you are. I appreciate the attempts to lecture me on free markets but true free markets exist only in the mind.
Personally, if I don't like a price, I look elsewhere for a lower one or I don't buy it.

Two problems with this position. One is that you usually don't know what the factors are that cause a rise in prices.

Actually, it isn't my "position". It isn't a "position" at all. I'm simply explaining what causes many people to think they are being gouged. You can discuss "why and wherefores" till you (and I) are blue in the face and most people will still believe they are being gouged.

How do you know how much the supply has changed, or what the other factors are that are affecting the price?

Again, what you or I know means little to someone that believes they are being screwed.

Perception can be everything, you say. True, but that doesn't change much...Should I sell my product at a loss to feed your misperception?

You can sell it at whatever price you see fit but if it is too high (perceived again !) that most can or will pay then you will have a problem. Either you won't sell any or not enough to make a profit.

...That makes no sense, which is the trouble with using your emotions as an tool for analysis.

Think about this: Perception is still everything and it doesn't matter if emotion fuels it. It will still affect your bottom line and thus emotion IS a tool for analysis whether it makes sense or not. Making sense often has little to do with many decisions, financial or otherwise.

My purpose in replying to this post is to hopefully change some people's false perception.

The best of luck with that. You are fighting an uphill battle with a great many people.

 

[dross]

Fair enough. I think I'll keep trying. Like the scorpion riding the frog, it's my nature.

 

[straight-shooter]

I'll just keep reloading to keep prices down, get my molds and learn how to cast my own bullets to drive 'em down even further.

You said it brother!! Well played.

 

[Grogan]

I'm not sure if the fear will subside anytim soon. Maybe in a couple of years if Barack ever stabilizes!
_______________________________________________________________________

The tree of liberty must be refreshed from time to time with the blood of patriots and tyrants.
Thomas Jefferson

 

[Lock n Load]

A local shop quoted a family member $475 for 1K of PMC Bronze .223, then sold it for $399 when he told them another shop had it for that and they called and confirmed.

This shop is notorious for not marking the prices on bulk ammo....

They even had an employees used Lee die sets out for $49.95...??? Or a another employees used RRA junker, no FH etc... for $1100!!!

Gouging is going on... and I will remember who is and who isnt....

 

[DRob]

Micro-stamping

Just a note about the micro-stamping phobia. All the bills proposing micro- stamping were at the state level and they all failed completely with the possible exception of California. Though frantic posts about the IN bill keep popping up, it was a 2008 proposal which never even got a hearing in committee. We should, however, remain vigilant!