[meteorite-list] Meteorite Market 101

[MexicoDoug at aol.com]

Hi Rob, 

Thanks for the welcome ... I am glad friends are still allowed to have 
different opinions and still be friends ... on the meteorite list.  In your most 
courteous reply I understand two potential objections for discussion:

1. The relevance it has to the concrete situation concerning our own intrepid 
Bob Verish.

In my case I could say I am probably far more ignorant than you to what 
started this issue.  My answer had absolutely nothing to do with the concrete case 
you mention as I still haven't even read it, still don't know who the other 
seller is, silent auctions, or how much, etc.  What I can say is that I have 
been repeatedly impressed by the efforts of Bob and hope that destiny is very 
kind to Bob for his spirited and tireless contributions.  I was specifically 
responding to and concerned with the comments of our chief economy columnist, who 
chose to define list ethics, and dismiss a very reasonable objection by 
another listmember, and same who has shamelessly insulted many, including yours 
truly.

2. Whether the price is affected significantly.

Here I am a bit unclear regarding your logic, though you clearly seem 
concerned that justice happens.  I would add to my comments that if you increase 
supply, the "law of supply and demand" cause the price to go down for price 
elastic materials which are discretionary (though this discretionary nature is 
debatable among some anomalies).  Supply and demand don't care how the price 
equilibrium is reached, so I don't see how an auction vs. "fixed price" changes the 
product being sold.  Cold economic theory on the contrary provides for 
everyone to come out of the woodwork with their offerings once they are convinced 
that their price might be met ... and the information available to consumers you m
ention is this list itself which is a public forum not intended to favor 
sellers over buyers, last time I checked.

Also, 
3.  You mentioned the concept of an "ethical business decision".  I am not 
convinced that ethics is driving these type of generalized business decision 
supported in Michael's treatise.  But rather than open a can of worms for myself 
that could enhance an already losing game theory proposition for me ... I'll 
agree to leave it at simply a "business decision" and leave all reference to 
ethics out ... especially good ethics.

Saludos, Doug



I suppose the only way that the second seller influences the final price of
Bob's auction is that it refreshes people's memories as to what price (some)
dealers are willing to sell LA 001.  In that respect, one could question the
necessity for the second seller to choose that precise moment to offer his
material at a fixed price.  If he's had this material available at that price 
for
some time, and consumers have had easy access to that information, then
I say consumers be damned -- making the ethical business decision not to
interfere with another's sale out-trumps any concern for the buyer.  This
would hardly be a case of collusion; it's simply good ethics.  --Rob

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