Amazon sellers ‘hijack’ listings to sell face masks despite new rules • Hacker News Board

Re: Amazon sellers ‘hijack’ listings to sell face masks despite new rules

#111

Post by inshane » Sat, Mar 21, 2020, 2:01 AM UTC

ecommerceguy wrote: post #70

I've got a decent amount of n95 (both 3M and HDX HD Brand) masks that we lucked into more than a significant amount of time ago. We are afraid to list them, at any price, because I'm afraid ebay/amazon will kill our listings at any price. I'm ready to ship them for free, of all costs, I just don't want my amazon "privileges" revoked. who do i give n95 masks too? edit: they are 2024 exp dates

My company does a lot of philanthropy with Children's Hospital in LA, and they are having a major shortage. I would gladly buy them from you to donate there if you haven't found somewhere to take them yet.

Re: Amazon sellers ‘hijack’ listings to sell face masks despite new rules

#112

Post by wtallis » Sat, Mar 21, 2020, 3:25 PM UTC

epr wrote: post #110

wtallis wrote: post #98

Earlier quoted context omitted.

> In the presence of price gouging laws perhaps, but not in general. I of course acknowledge the overhead cost of retrofitting existing manufacturing setups to produce masks, Price gouging laws do not change the underlying facts of how long it takes to spin up new production lines. In an emergency , suppliers cannot respond quickly enough, by definition. The problem to be solved is how best to allocate existing stock…

> Price gouging laws do not change the underlying facts of how long it takes to spin up new production lines. Of course they don't. What they do accomplish is preventing prices from rising quickly enough to justify new production lines. It really comes down to if manufacturers think they can make enough to cover the costs of changing production lines to the emergency good, then turning them back, and then some. This…

> What they do accomplish is preventing prices from rising quickly enough to justify new production lines.

How does this matter, if either way the new production line won't be up and running until after the emergency is either over or has been seriously exacerbated by poor allocation of goods? It seems like you're still trying to pretend that markets are efficient and can always respond quickly, and that's simply not true.

Re: Amazon sellers ‘hijack’ listings to sell face masks despite new rules

#113

Post by eru » Sun, Mar 22, 2020, 9:17 AM UTC

wtallis wrote: post #60

eru wrote: post #50

Earlier quoted context omitted.

Give poor people money, if you want to help them. Not queues and black markets.

It's usually quicker and easier to determine how much each person reasonably needs to get them through an emergency situation, than to predict how high the price could be driven by hoarders and scalpers. And handouts to poor people to cover the scalper's surcharge will quickly result in the scalpers charging that much more—cf. college tuition, for a non-emergency example.

Good point. A discussion about relative elasticity of demand and supply for college tuition, rents and eg face masks would be enlightening. Most of higher education is about signalling.

Hoarders and scalpers don't drive up the prices, they just reveal a market clearing price. Attempts to restrict market clearing mechanisms make scalpers and hoarders spring up in the first place.

In a less restricted economy, producers of masks would capture the price increases. And that would serve as a good incentive for them to keep extra capacity around.

If your ration coupons for face masks were freely tradeable, the resulting system wouldn't look that much different from letting the price of face masks themselves freely fluctuate; and giving people the right amount of money. (It would still be a bit more awkward in comparison.)

Re: Amazon sellers ‘hijack’ listings to sell face masks despite new rules

#114

Post by eru » Thu, Mar 26, 2020, 8:04 AM UTC

toohotatopic wrote: post #105

eru wrote: post #50

Earlier quoted context omitted.

Give poor people money, if you want to help them. Not queues and black markets.

Then you just drive prices up and put the poorest non-poor people into the same class as the poor.

Higher prices encourage more supply to spring up, and economizing on use.

Your remark is right for things like land that's in fixed supply.