[DML] Supply or Demand changing? (was "DMC Prices")

[Mike Substelny <msubstel@xxxx>]

Mike in NH said:

> Several months ago I predicted that prices of the DeLorean
> would go down as the supply became more available over
> the internet. Before computers all we had were local
> advertisements, clubs and Hemmings. Today there are
> hundreds of D's For Sale listed on line.

While I do not doubt the laws of supply and demand, I do disagree with
your logic. What makes you believe that there are more DeLoreans for
sale now than in the past? Do you suppose someone wanted to sell their
DeLorean, but decided to wait until the Internet was invented first? I
see no reason to make this assumption.

I believe there have been plenty of DeLoreans for sale for 10-15 years
now. The number of sellers might decline, since some DeLoreans are
wrecked or cannibalized while no new ones are being built. The number
of sellers might also increase as 'investment' buyers are tired of
storing them. Neither of these is due to the Internet.

The effect of the Internet is to expose each buyer to more sellers and
each seller to more buyers. Unless the number of buyers or sellers
changes, supply and demand will have no effect on price.

If the Internet were to increase the number of buyers the price *would*
go up. I believe this is a possibility. Price would also increase if
more owners choose to hold onto their DeLoreans instead of selling
them. My sincere hope is that by making information about DeLoreans
easily available, the DML helps to make both of these happen.

- Mike Substelny