by Jack » Mon 30 Apr 2007, 18:01:29
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what happens if the allowance is tradable but this does not include the actual gas... you still need to buy it
the price of the gas is separate
Boris
London
You simply create more opportunities.
The allowance coupons (or cards, electronic chits, whatever) can be forged (counterfeiting). The suppliers of such coupons (however defined) can be compromised. Those who account for or turn in the coupons can, likewise, be compromised.
Let's suppose that a tradable permit for 1 liter is worth 1 dollar in the secondary market. The virtuous bicycle rider and the frugal grandmother sell their 100 liter monthly allotments and get $100 each.
But the corrupt person who supplied counterfeits could now generate (print, enter on computer, make "unforgeable" cards, whatever) 4 million of the items, distribute them, and sell them to the public for 70 cents each. The creator of the fake coupons might garner a million dollars, the distributors would take their cut, and the final consumer could shave 30 cents off the price of a liter of gas.
At this point in the discussion, the game always devolves to some back-and-forth argument about how the coupons (permits, passports, RFID tags, whatever) will somehow be made utterly, absolutely counterfeit proof...or, some absolutely incorruptible central office will control it...or, penalties for using the counterfeits will be so draconian that no one will dare to commit the crime. Please, let's not bother with that.
Any rationing scheme will offer a chance for some to make big profits and others to cut their costs. It will happen. It cannot be stopped. If you doubt me, take a hard look at the war on drugs and tell me how successful that's been.