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Yesterday when discussing why supermarkets may discount Nurofen during cold season I put to the side the possibility that it was the result of a collapse in tacit collusion between Nurofen providers. My reason for ignoring this explanation was purely selfish – I was tired and that explanation required more thought than I had capacity […]
In New Zealand there are often complaints that bank profits are exorbitant – especially given that profitability rose during a massive financial crisis. While there is an argument that banks are backed by a lender of last resort, and that they should pay for this (such as through a tax) this doesn’t tell us too […]
Conjecture is rife regarding why petrol prices have risen so strongly. There are a number of common explanations: Rising demand for oil, The weak US dollar, increasing the US$ price, Peak Oil (Infometrics article requires a subscription), Negative real interest rates in the US (as not mining the oil is the same as investing in […]
Cross post from Substack I keep receiving emails that Star Wars Squadron is only $2.50. Wild! I love Star Wars, and when I was a kid I loved flying around all the planes and stuff. But why such a big special? And why are lots of computer games on a big sale now? I mean […]
Cross post from Substack. It’s Boxing Day – and I’ve already used up the idea of discussing the now largely missing Boxing Day sales. And the idea that Boxing Day is increasingly lame is common across years. So instead the focus of today will be on a different industrial economics topic – the state of […]
With prices rising an increasing number of people are looking for a scapegoat. Fairly “obviously” the blame should be on those who are increasing prices – namely firms. This outbreak of greed is then being used as an explanation for why firms are increasing prices, and the suggestion is that – instead of cutting government […]