Who would win in a face off between The Walking Dead or the earlier Dawn of the Dead and Black Friday shoppers? Don’t forget the hilarious Shaun of the Dead (2004).
They can teach us a great deal about economics and the efficiency of the market place, innovation, competition, more efficient and productive commodities at a lower price, and so much more.
Think of zombie movies as the result of controlled markets, while Black Friday shoppers represent the free market.
I have to go with the shoppers. They will beat the zombies every time.
There’s the old line about how can you tell a Communist country from a capitalist country from the vantage point of a helicopter? By the lines.
Scarcity is always a reality in Communist countries. People would have to stand in lines for hours to get whatever the unknown commodity was being offered that day.
In Capitalist countries, there are few lines because of an abundance of goods and a competitive marketplace where goods and services are sold by many companies.
But when a single day is set aside for selling products at a reduced price, scarcity of goods and time enter as factors. Thus, there are lines for a fixed number of commodities at a lower price in a fixed period of time. Supply and demand are fixed universal laws that cannot be legislated against.
The free market adapts to competition. That’s why online shopping will reach a record this year. No need for lines.
“As more people than ever shop online, and amid bitter competition from rivals, many leading retailers are starting their offers earlier and online in an effort to lure customers. Some are selling discounted items at a loss.
“‘It used to be called Black Friday, then it became Thursday, now it’s a week long,’ noted Duncan Mac Naughton, US chief merchant at Walmart. ‘Maybe we should just call it November.'”
Consider that online shopping, online paying, and door-to-door delivery have all been accomplished without government management or control.
There is a new report out that says that the Post Office gets the highest approval rating among all the government agencies. Why? Competition with the free market delivery services. Of course, the Post Office is subsidized, but even so, the free market has made the Post Office a better agency.
Who benefits? Everybody. Jobs are created, prices drop, and innovation continues.