Ammunition shortage & inflation

[Elk97]

Interesting article about the ammunition "shortage". Explains a lot of questions I've had regarding this.

What the Great Ammunition Shortage Says About Inflation

Concentration is increasing prices and keeping them high. The ammunition duopoly and the "Great Ammunition Shortage" is just one example.

mattstoller.substack.com

 

[zacattack]

I’d be interested to see when or if they get sued for price fixing. The meat packers got the shit sued out of them for price fixing. Like hundreds of millions of dollars.

 

[Braaap]

Thanks for posting this.

 

[ousuxndallas]

The article was thoughtful, thanks for posting. What the author seems to skim over is the insane regulatory and litigious threats to the ammunition industry. Capital is not rushing into this industry because what PE firm is going to risk capital, reputation, etc by building ammo facilities?

Federal and state legislatures keeps flirting with the idea of holding firearm and ammunition companies liable for deaths that occur due to shootings. THAT is the main barrier to entry, not expertise or safety.

 

[tangodelta13]

Thanks for posting @Elk97 . Interesting article for sure. My 300 WSM ammo used to be $35/box and now the same is $90+/box when it's available. Gotta love it. I know we all have our own examples. Inflation is real.
What @ousuxndallas points out about capital availability is a key point, too. As a PE firm or any public company, it's hard to have an ESG (Enviro, Social, Governance) story with the given bias in the media, censorship in social media, etc.