this post was submitted on 15 Aug 2022
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Late Stage Capitalism

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‘They couldn’t even scream any more. They were just sobbing’: the amateur investors ruined by the crypto crash (IMO they deserved it and only have themselves to blame) (theguardian.com)
submitted 2 years ago by [email protected] to c/[email protected]
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[–] [email protected] 1 points 2 years ago* (last edited 2 years ago)

Supply and demand describe the fluctuations of the prices of commodities about their costs of production. They do not describe the prices of the commodities themselves. Oil's demand is relatively inelastic --and its supply constrained by cartels-- and as such its price can remain detached from its costs of production, enabling super-profits.

Suggested reading:

  • Value, Price and Profit
  • Capital Vol I