Sunday, January 14, 2007

WiiBay Economics

I recently stumbled across this blog posting, telling the public to not bid on wiis on eBay if you ever want a chance to actually buy one. Being that I am looking for a Nintendo Wii myself, I find this somewhat intriguing, and I understand where the author is coming from. However, his argument is flawed.

Not buying on eBay won't make Nintendo produce more, which is the main problem...supply < demand. It might encourage a couple less people to buy multiple consoles from the stores, but when it's all said and done, there just won't be enough. The overall quantity produced is still the problem. Furthermore, even if everyone does magically stop bidding on eBay, it will more than likely be too little too late. In due time, Nintendo will start pumping out more Wiis at a more reasonable rate and prices on eBay (and craigslist, et al) will go down whether people are bidding or not. Until that happens, we all just hafta be patient.

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