CDR: A famine averted...

[Ken Brown]

Jim Choate wrote:

> Why in major disasters do prices go up, when it is clear this is contrary
> to the best interest of the market? 

Because markets have no interests, the participants in them do. The
argument is exactly the same as that advanced by biologists against the
idea of group selection.

NB in a real famine (as opposed to temporary shortages, which a place
like Belize can probably get through with less hassle than a richer more
efficient economy with all our "Just in Time" suppliers) food prices go
*down* at first... strange but true. It is due to farmers unloading
stock to get money in as quickly as they can. 

Ken