Foundation for Economic Education
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Inventories Pile Up Worldwide

Posted By Sheldon Richman

“The world is suddenly awash in almost everything: flat-panel televisions, bulldozers, Barbie dolls, strip malls, Burberry stores. Japan yesterday said its economy shrank at an 12.7 percent annual pace in the last three months of 2008 as global demand evaporated for Japanese cars and electronics. Business everywhere are scrambling to bring supply in line with demand.” (Washington Post [1], Tuesday)



Let prices coordinate.



FEE Timely Classic

“The Law of Supply and Demand” [2] by Israel M. Kirzner


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URL to article: http://www.fee.org/articles/in-brief/inventories-pile-worldwide/

URLs in this post:

[1] Washington Post: http://www.washingtonpost.com/wp-dyn/content/article/2009/02/16/AR2009021601391.html?hpid=topnews

[2] “The Law of Supply and Demand”: http://www.thefreemanonline.org/featured/the-law-of-supply-and-demand/

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