Topic: Greed

[fjlip]

Sums up the mentality from business, that gouges farmers and consumers alike ...
http://bloggn.grainews.ca/lee_hart/2011/02/the-bs-of-economics.html

What could be done to make prices fair and reasonable, eg. bread vs wheat price, beer vs barley price, etc?

[TOM4CWB]

Consumers and farmers that do business with folks that are fair.

It is our responsibility to say NO... that is not fair.

What the CWB did with my future grain... that is not even grown yet... and spent it like drunken sailors... is greedy and immoral.

NO CWB. Leave my families grain alone.

[FarmRanger]

I’d much rather have supply and demand set price than some central planning committee. At least I have a chance for a decent profit in a free market. Allow the market to function properly, enforce rules for all players involved, and the market will always perform better than the bureaucrat planner.

When a central planner gets involved in economic matters they can’t react quickly to changing economic forces, they always favour some group or chosen few at everyone else’s expense, and the economy as a whole is always reduced. I can't think of a real world example of an exception to this economic rule.

[charming]

Greed is managed by supply and demand. Husky wants your money and you want their gas. If you think they are being too greedy, don't give them your money, take the bus. Or buy shares in the company that is "too greedy" and use the dividend gives you to subsidize your purchase of gas.

But perhaps it is easier to sit and moan about it.

It has been well known for several months that fuel prices were going to be high this spring and coming summer. Consumer demand for limited supply of gasoline, not crude oil. There has been no substantial increase in gasoline manufacturing in decades, but auto fuel demand goes up every day.

Adding to crude demand right now are the record low temperatures being seen. Fuel oil demand is huge in the US right now when it should be dropping off.

[Hopperbin]

If the wheat price was tied to the price of bread to the point we make too much money on wheat then that would creat other problems like what to do with the burdenning stocks, I much prefer to allow competition in the market place to determine acres and what crops to grow. Ax the CWB would be a great start.

[Lifer]

Well said FR. What one person thinks is Fair, Reasonable and justified another may not.

We all have choices. The day we choose to plant a seed to grow wheat for human consumption we accept that we will be selling it through the CWB.

[cottonpicken]

This is what capitalism is all about.

If new zealands can gives us cheap goats butters and
we can gives thems cheaps barleys to makes the
cheaps goats butter and the chinamens can builds a
cheaps boats for the butters and barleys to go backs
and forths-then everyones wins.

The problem is "regulations"and "currencies" and
"protectionisms" .

[jensend]

markets can only be efficient price setters if they are free and open. when five companies control a big portion of the world grain trade do you think they compete? oligopolies are characterized by short periods of intense competition and long periods of non-competitive behavior. dwayne andreas summed it up when he said the competitor was his ally and the customer was the enemy. read 'the informant' to learn how adm operates.

[Lifer]

The problem is "regulations"and "currencies" and
"protectionisms".

Yes or in other words legislated greed.

[FarmRanger]

<i> “We all have choices. The day we choose to plant a seed to grow wheat for human consumption we accept that we will be selling it through the CWB.”</i>
That is very true Lifer, however, it doesn’t mean that I should not be allowed to lobby for improvements to the system that currently offers no other options than that single buyer for the wheat I have chosen to grow. My choice of board grains acres comes down to other positive advantages, which can partially offset the detrimental aspect of the single desk.

Well said Cottonpicken, free market capitalism is all about using limited resources as efficiently as possible.

[FarmRanger]

<i>" in other words legislated greed."</i>

Very true. The difference is that governments think their greed is justified.

[Lifer]

Governments also think that thay are free and reasonable. It's perspective.

Continue to Lobby for change. Please!!! The challenge is to find meaningful ways to do it.

[Lifer]

I meant to say Fair and reasonable

[fjlip]

"when five companies control a big portion of the world grain trade do you think they compete?"

That's the issue with our grains and similarly with our inputs. Less competition more consolidation. Bigger is better and it's going to continue.

The "free market" is an ideal but sorry, not a reality.

"If you think they are being too greedy, don't give them your money"

Is a reaction and takes a common effort by many consumers over time, to get a positive result to control the greed.

[farmgal71]

Doesn't the recent run up in commodity prices show the market is working in regards to supply and demand. It might not be perfect but seems to be working.

The problem as I see it is that farmers have been encouraged to overproduce because of politics (Cheap food strategies) and we are always in a glut position and therefore low prices. That is not the case right now and the markets are pushing up prices.