Quote:
Originally Posted by truckerdave397
No real reason for the manufactures to do this. Right now they can charge what ever they want. 9mm was always about $10 a box of 50 on average. Even cheaper by the 1000. Now the going price on 50 rounds is about $30 on average. If you run the ammo company what would you do?
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Make as much ammo as possible to cash in while prices and profits are crazy high.
Fixing prices by restricting supply is hard to do, just ask OPEC. They managed to do that for a while but eventually some country wants a bigger piece of the market, ramps up production and prices fall. And OPEC doesn't have to worry about anti price fixing laws.
But I wouldn't invest in a lot of new plants and equipment to increase production. Those are long term investments that will not pay off when prices fall.