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Robert M. Gary wrote:
All very true. However, lack of capacity does not result in shortages as the OP suggests. In a free market lack of capacity or supply results in higher prices. Now, if the democrats try to cap prices or increase the tax on gas the restricted capacity would result in shortages. It absolutely does result in shortages. Capacity can't be added in zero time even if it is economically viable to do so. And prices have to stay high enough, long enough to attract new investment. In the mean time, shortages will occur ever more frequently even as the prices rise dramatically. Matt |
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