Price mystery-when I met Adam Smith at the supermarket-when the sixth chapter of the earthquake was triggered, will the supermarket go to raise the price or not raise the price?

Chapter 6 after the earthquake, do supermarkets that want to raise prices or do not raise prices?

If you don't care who honors them, your achievements will be limitless-this motto has been embodied in every great leader since Moses, and since luth served as the Chief of education, it often appears in her mind. Two days after the protest in the big box building, she received bakman in the office. Bakman claimed that everything was okay. Luth felt so lucky that she thought of this motto again.

Ruth's job at the moment is to make the barman, who thinks it is important, feel better. This is really not easy, but she does her best. She praised him for his foresight, and admitted that the school was lucky, and finally the event was okay. Yes, the protesters were very vicious and the tennis player was hard to hear. But in general, the impact is very good. The glass in the big box building was broken down, making public opinions accusing the protesters and making Stanford University a victim of rogue behavior, rather than cooperating with large sponsors to exploit the poor. After the big box store in Hadad was damaged, the big box company received sympathy, and the protesters were even more annoying. Due to the arrangement of "bad weather" and its friends, the TV video crew captured the shopping experience of people coming to the store: the store was eager to leave, because the store had to repair windows, so it could not be opened. Ruth told bakman that a shopper once told reporters that protest is equivalent to an earthquake-you cannot buy anything you want. In short, the evolution of the situation is satisfactory, though it is entirely out of luck.

At least, that's what she said to bakman, because she cannot explain how to make the incident better, either for Stanford or for Beckman. Unfortunately, this kind of good result means to get rid of lammon's reputation, because he, as a well-known student at Stanford University, was involved in this destructive violence. But she secretly thought that lammon will still have a bright future. People will always be forgotten if they go astray because of their idealistic ideas. Besides, she did warn rammon beforehand. At least, she can comfort herself.

But when the conversation was about to end, the red alarm flag rose.

Bakman said: "From the results of this incident, we can see that the way out is better. He can do what he is best at and play tennis ."

Why is the flashlight sold out without increasing the price?

Lammon Fernandes may still cause a lot of trouble for the big box company, but Russ did not tell bakman about this. Lammon will give a speech at the graduation ceremony. With this weapon, he will have another opportunity to make the big box company "bleed. However, Ruth determines that it will be a few weeks later. Who knows what he will talk about? There is no need to make bakman nervous about the new problem, because once he knows it, he will urge her to solve it. If rammon only talks about general topics and the bay area is no longer embarrassed by the big box company, she believes that bakman will donate $35 million to the IT center at Stanford University. At this moment, the internal phone number on the table rang.

"Louth, rammon Fernandes wants to see you. Can you see him ?"

"Yes ."

Rammon came in. They sat down in the reception area beside the window.

Ruth asked, "What's wrong with your leg ?"

"It's better. How do you know ?"

Ruth waved his hand and reminded Ramon that he realized that he had underestimated the petite woman. He spoke endlessly about his leg injury, her obvious ignorance, and how she felt uneasy after seeing her.

Lammon said, "I should apologize to you ." Lu thought to correct her, but immediately shut up and said no. She asked him to continue.

Lammon continued: "You tried to help me. You warned me that there may be bad consequences. I didn't listen to you. I think you're kidding me or trying to defeat me. You are right. I am wrong ."

She liked his open and honest approach, without hiding, making excuses, and being vague. He looked straight into her eyes. When he is older, he will be very promising. She suddenly realized that he was already famous. His social status is already quite high and he can enjoy the smooth operation in the tennis world or any other field. Yes, he is still naive, but he will overcome it soon.

Lammon continued: "I am embarrassed. More importantly, I am embarrassed by my school. I am sorry for this. I thank you for trying to prevent me from making mistakes ."

Several seconds later, he thought that he should smile, and then he should thank him for coming to see her and look forward to his speech at the graduation ceremony. She filled her desk with the work to be done today. She wants to give a lecture. Her schedule was arranged until the evening. There was a dinner at, and it went deep after dinner. She does not have time to chat with lamento. If she expresses her gratitude and leaves him immediately, she can see him again or twice before the graduation ceremony.

But her intuition tells her that she wants to treat him in another way. As a result, she changed her way of life in an unexpected way. She looked back at him and knew that what she was about to say would hit him, even though he had been hit once by "bad weather.

"You don't have to apologize to me or thank me ."

Masked faces are confused. What does she mean?

Ruth said: "the suggestions I give you cannot be wrong for me. I warned you that my conscience would not be burdened. I am not proud of my suggestions ."

Lammon still doesn't understand what she means.

"As a teaching director, I want to care about the reputation of big box companies. They are one of the major sponsors of our school. In fact, they may become our biggest sponsors. If this protest results in a long PR disaster, our relationships with them will be hurt. I have to worry about the whole school. What is the impact of a large-scale and compelling demonstration on our national and international reputation? I still want to worry about you. I don't want you to get down or be stupid. So I warned you, but I warned you that there are other purposes. If you leave the protest activity, the relationship between the school and the big box company will be less harmful, because only people outside the school are protesting. But if you don't quit, I need you to take an extreme stance, that is, drive the big box company out of campus. I am very familiar with the CEO of the big box company. I know that if you insist that the big box company should leave campus, it will actually bring the relationship between the big box company and us closer ."

"Why don't you cancel this protest ?"

"If I cancel this protest, people will sympathize with the protesters, which will hurt the big box company's image and I will not be able to influence the situation in a favorable way for the school. As long as the protest is not very harmful, I can make it happen. After I warn you to be careful, you can move back to the next page to see the situation develop on your own. I think your motives are good for me ."

Lammon leaned forward.

"So, where is justice ?"

"Justice ?"

"You Care About the interests of the school, the interests of the big box company, the relationship between the two sides, and even a little about my interests. So where is justice? Who is right or wrong? Don't you care ?"

Rammon wondered how she could fall asleep at night when she manipulated the situation to help big box companies with social parasites? She seems to be a decent person. Is it just to get more donations from big box companies? What did she think?

Lammon's attitude has changed. When he first entered the office, he was humble and obedient. Now he is full of fire. In her opinion, his eyes are the same as those when they fight on the tennis court. She intentionally silenced for a while, so that his emotions burned for a while, because she appreciates his passion. She stood up and looked out the window so that he could relax. Then, she did not answer his questions, nor defended her actions, but answered his questions by asking questions.

"Where do you like to shop ?"

He was disconnected for a moment.

"What do you mean ?"

"Where do you like to shop? Is it in the big box store or Home Depot? Is it a store that doubles the price after a natural disaster or that does not increase the price ?"

"This is easy. ." Rammon wondered what name she was doing. Why didn't she answer his questions or refute his position.

"Where did you shop on the night of the earthquake? Is it a big box store or a store ?"

Lammon felt her thoughts, but she still did not understand them.

"I went to both stores ."

"Did you buy things that night ?"

"I went with a friend. Go to Jia Debao first, but the flashlight is sold out, so we went to the big box store ."

"Where is justice more? Is the big box store still a treasure ?"

"Jia Debao, it does not try to hit us ."

"But it does not provide the items you want to buy. The big box store has the items you want to buy. Is it true that the price is increased, while other stores do not increase the price. Is it wrong ?"

"But the reason why the big box store sells flashlights and milk is wrong. This has nothing to do with fairness or correctness. It just tries to make money. It should not increase the price. It is correct not to raise the price ."

"The reason for selling flashlights and milk is that the price has risen. Have you ever thought about this ?"

"I don't care. ."

"It is possible. But you can think about the mother you helped ."

"How are you --"

"I saw it in the newspaper. The report said that you helped her raise money and made her have money to buy things for her children ."

"That's terrible. The mother wanted to buy food and diapers for her children, but the big box shop was broken ."

"It is possible, but it is late at night. Think about it. On that day, many customers went to the store and they wanted to save some baby food, but they were scared away by the price increase. The price increase left them afraid to buy it, so the mother could buy it. Some people go to the store to save some diapers, flashlights, and batteries. Because the price doubled, some people -- not all -- will not buy it. In this way, you and the mother you helped can buy it. Do you mean that the store is fair ?"

"No. If the price increases allow large companies to make huge profits, the rich can still shop as usual, and the poor can only buy cheap goods. This system is designed in this way ."

The internal phone rings. Ruse looked at his watch.

"Sorry. I really want to talk about it for a while, but I have another meeting. Can I ask another question ?"

"Okay ."

"On the night of the earthquake, all the flashlights were sold out. If the price of the flashlight remains unchanged, people will buy all the flashlights on the shelves, right ?"

"Yes ."

"My question is, who should I sell the flashlight if it is not enough ?"

"It's easy to sell to people who need them most, not people who already have flashlights, not people who already have many candles, not people who are mainly sleeping at night ."

"Okay. How do you ensure that the people who need them most can buy them? This is actually a matter of information. How do you find out who really need them? This is not a small problem. You can ask those customers one by one all night, and then sell the flashlight to the ones you think have the most reason. Is this a good plan ?"

"I don't know. I'm not sure people will need a flashlight to tell the truth ."

"Okay. And you need to worry about not only the flashlight. People suddenly need thousands of products in an emergency, so you need to decide who can buy milk, beer, candles, diapers, portable generators, and so on. If you don't change the daily prices of products at this time, who will buy flashlights, milk, and portable generators ?"

"People who need them ."

"I don't think so. If you don't change the daily price of the product, the person who buys the flashlight is the first person to arrive at the store. Just as you go to Home Depot, the products you want to buy have been sold out of stock. But in the big box store, anyone who wants to buy a flashlight can buy one ."

"They have to pay for it. In this way, the poor are even more difficult, for example, the mother I helped ."

"Agree with your statement. But for thousands of customers, they can all buy flashlights. Do you still remember the information we want? It is about who needs a flashlight most. After a large box company raises the flashlight price, a person with a candle in the House will not buy a flashlight, and you will be able to buy it at the store. No one has ever asked you. The price increase affects the actions of both of you, as if someone had asked you. A person who has a candle in a house doesn't buy a flashlight. In fact, they are saying, 'I give up buying a flashlight and leave it to someone who needs it more '. In fact, no one begged him to do the right thing, neither passed a law that must be enforced, nor asked him to know who needs it most. Make sure you have purchased a flashlight. In my opinion, this is fair ."

"Maybe ." Lammon's attitude is somewhat relaxed. Her point of view is quite interesting and reminds him of what James has said, that is, the lessons taught by Professor Lusi, the story of a pencil, and how the price uses scattered knowledge. "But it is unfair for big box companies to take advantage of my pain ."

"Are you sure you want? Do you feel better? They didn't take advantage of you, but they didn't provide the flashlight you wanted. I don't know if I can make money in case of an earthquake. Before the next earthquake, which store was eager to order a large number of flashlights and milk and bear the cost of stocking more? Is it home depot or big box company? As we know that the price increases, big box companies are motivated to take on the cost of additional stock-keeping ."

"However, the world I want is that the flashlight will not increase in price, and will not be sold out. Why can't I have both of them? Why are rich people getting richer and poorer? You are an economist. Please tell me why we cannot improve it ?"

The internal phone rang again, and Lusi had to deliver the customer. When rammon walked to the yard, he could not help but secretly admit that he had some interesting ideas. But isn't that how she defended the big box company? In an emergency, how can we punish people with price increases? She is a smart woman and he agrees with this comment. She is a strong competitor, but why is she so honest with him? This is like a restaurant, but its chefs invite you to visit the kitchen.

She did not give any comments about his graduation speech. After the protest, he thought she would try to prevent him from giving a speech. But she has nothing to do. As far as he knows, his speech was not canceled. So why did she tell him the real story behind the scenes and how she manipulated the situation? It would be embarrassing for him to tell the story to outsiders. He thinks this is quite mysterious.

How can we increase the price so that the people who need the most can get the goods?

"How do you feel ?"

Emy waited for lammon in the fountain outside the Memorial Hall. He liked this place. I don't know why, the sound of water makes him open-minded.

Lammon replied, "I don't understand her. I don't understand her. What she wants to tell me is that it is a good thing for the big box company to double the price that day ."

"Did she mention bread ?"

"Bread? No, she didn't mention it. Why do we mention bread ?"

"That's our job. When my mother only has two breads but wants to allocate them to three children, should she auction them to the highest bidder ?"

"It's crazy ."

"We all think it's ridiculous. Professor Russ asked us to make other choices ."

"This is easy. She can give each child 2/3 breads. Or if a child just eats chocolate in the afternoon, he will not be given bread; or a child may take the initiative to give the bread to his younger brother. Don't tell me she used to sell bread to her children ."

"Some economists may indeed do this, but I don't think Professor Russ will. Her opinion is that her parents have enough information to know which child can not give bread. Sometimes, children can share their bread without using the price. The same thing happened in a small town. In this town, when an emergency occurs, most people will not do anything wrong, maybe because they care about each other; maybe if they are selfish in the face of a crisis, we will pay the price-you will ignore him in the future. As a result, when the town was hit, the store owner would not increase the price of portable generators. Even if the portable generator is out of stock, anyone in urgent need can borrow one. But in big cities, there is not much love or information. The price increase makes up for the lack of love. Price increases encourage people not to buy, but to let strangers who are willing to pay a higher price buy the goods they need. In addition, the price increase has motivated merchants to prepare more goods for key varieties and bear the stock costs ." Rammon asked, "What do you think ?"

"What ?"

"The price of large box companies doubled. You were not happy that night. According to what you mean, they are right about price increases ."

"I think the price increase is good or not. The price increase is a bad thing for the real poor who have shopping needs, but it is also good for those who have shopping needs, and even some poor, because when they go to the store, those items are more likely to be placed on shelves. Price increases are also good for people who need to shop in the next earthquake. You may want to accept good and bad things together. I don't know. What about you ?"

"I want to have a better solution. It is hard to believe that our current way of doing things will make the world a better place. In my opinion, we want to try to make a big city more like a small town. What does Russ Liber think about this ?"

"I think she will post her views on regular tables in class. It is not enough to make the world better, and it is not enough to do something that seems to make the world better. The goal is to truly make the world better, and it seems much harder to do. Ask 'bad data ."

"You have no spare time. But I understand your point of view ."

After returning to the administration building, Lu si held a meeting and looked at the outline of the next meeting. She checked the calendar of the next few weeks on the calendar card. It seems that the next few weeks will be busier than before. She really cannot squeeze out time. Should she take a risk? The cost is obvious. The advantage is that it cannot be said, like throwing a dice, there are thousands of changes. The benefits may even be negative. What should I do? The head of the Department of Physics often ridiculed her that even if all the economists in the world are together, they still don't come to a conclusion. However, the perfect economist, Ruth Liber, has come to a conclusion after all.