A theory- disproven?

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I think some people fail to realize the risk/cost benefit analysis of Buying more production capacity so you can make more ammunition to keep up with demand.

at least were 7.62x39 if a wolf increases their production capacity by buying more machines and more factories they have a better chance of recouping the cost of that… Through selling to military contracts in former Soviet and African countries then they do if they increase their production capabilities in 5.56 and 223.

Plus I don’t own a business but if I did but I made a product that people were willing to buy that three times the normal price as fast as I can possibly make it, At some point I make more money at current production and purchase levels then I would if I increased my production and lowered the cost. It’s essentially creating artificial demand or ensuring demand and that’s ensuring people buy at high prices. There’s literally no incentive for me to make ammo cheaper if people are buying it in a more expensive price.

The only incentive companies would have to make ammo cheaper is if everybody stops Buying at the current prices… But given the new amount of gun owners that’s never gonna happen.
 
I think some people fail to realize the risk/cost benefit analysis of Buying more production capacity so you can make more ammunition to keep up with demand.

at least were 7.62x39 if a wolf increases their production capacity by buying more machines and more factories they have a better chance of recouping the cost of that… Through selling to military contracts in former Soviet and African countries then they do if they increase their production capabilities in 5.56 and 223.

Plus I don’t own a business but if I did but I made a product that people were willing to buy that three times the normal price as fast as I can possibly make it, At some point I make more money at current production and purchase levels then I would if I increased my production and lowered the cost. It’s essentially creating artificial demand or ensuring demand and that’s ensuring people buy at high prices. There’s literally no incentive for me to make ammo cheaper if people are buying it in a more expensive price.

The only incentive companies would have to make ammo cheaper is if everybody stops Buying at the current prices… But given the new amount of gun owners that’s never gonna happen.

There’s more to it than that. If that’s all there was, no business would ever expand. Yet they do.

Demand for computers increased from about 1990 on, and prices fell as more companies came along to fill the demand. The technology kept changing and improving, and prices remained moderate.

Also, the ammo makers aren’t getting 3x the price. They’ve said 15% more, or 1.15x more.
 
There’s more to it than that. If that’s all there was, no business would ever expand. Yet they do.

Demand for computers increased from about 1990 on, and prices fell as more companies came along to fill the demand. The technology kept changing and improving, and prices remained moderate.

Also, the ammo makers aren’t getting 3x the price. They’ve said 15% more, or 1.15x more.
Yeah it’s definitely more complex than this for sure. Demand for computers though I’d say is different. Demand has only ever been increasing while ammo demand ebbs and flows.
 
Plus, computers last slightly longer than ammo. I guess people replace a computer every 5 years? Ammo gets replaced every month? More or less.
 
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