Overprices
Posted by JTyler on Friday, September 9, 2011
Today, I was shopping, and I noticed that butter was cheaper than cream.
Theoretically, it should be the other way around because more is done
to the butter than is done to the cream. There are additional steps to
creating butter than the cream. I thought for a bit and here's the
conclusion I've drawn - butter is purchased more than cream, which means
there is more competition with different brands of butter than cream.
Since there is less competition with cream, there is less competitive
pricing. That means that companies don't price products as fairly as
they should. It's my belief that the price of products should be
determined by how much money is needed to break even (including employee
wages), plus enough for a modest profit. Part of the problem with
capitalism is that people can be taken advantage of. Even if there is
no monopoly on a particular thing, companies can decide to keep prices
at a certain height, which would force people to spend more than they
want to. I think it would be greedy if anything else is done...