I'm reading the comments and I get confused. I kinda think this is a good idea and it is not like the government is purely making it a 3rd party problem only. This might make production more complicated for a while, but nowadays it is much easier to predict demand and produce quicker in smaller batches. In the 90s you might need change a whole factory setting for every single piece of fabric but nowadays it is that m…
Apparel firms exist not to clothe people as common sense would suggest but to make a profit, and this practice of erring on the side of overproduction is more profitable than under production. The perfect solution would be to produce exactly the number of goods they will sell, but forecasts aren't perfect so they overproduce. Firms are already incentivised by profit to not waste, so this adds another incentive and re…
Displaces it. And adds other externalities like C02 to do so.