That should mean they don’t go bankrupt though. If their service is vital, people will pay for it even if the prices rise. It would mean an increase in prices for goods admittedly as the stores try to recoup the increased logistics costs, but intuitively I’d imagine the financial impact on the end customer wouldn’t be as much because they’re paying for the road upkeep either way, just via higher taxes in the current state and via increased prices in the new one.
That’s not a supply and demand thing though. There just wouldn’t be product to buy because there’s no way to get it to the stores. It’s less about the bankruptcy and more about availability.
I mean the supply and demand for the trucking companies. Shipping is a vital service, if it had high taxes, it would have to dramatically increase prices for their shipping service, but they shouldn’t go out of business because everyone else would still pay those dramatically high prices, because they’d have to
That should mean they don’t go bankrupt though. If their service is vital, people will pay for it even if the prices rise. It would mean an increase in prices for goods admittedly as the stores try to recoup the increased logistics costs, but intuitively I’d imagine the financial impact on the end customer wouldn’t be as much because they’re paying for the road upkeep either way, just via higher taxes in the current state and via increased prices in the new one.
That’s not a supply and demand thing though. There just wouldn’t be product to buy because there’s no way to get it to the stores. It’s less about the bankruptcy and more about availability.
I mean the supply and demand for the trucking companies. Shipping is a vital service, if it had high taxes, it would have to dramatically increase prices for their shipping service, but they shouldn’t go out of business because everyone else would still pay those dramatically high prices, because they’d have to