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Craft Beer Underpriced?

In a recent blog post on L’histoire de sa vie, Nathan Miller suggests that craft beer is underpriced.

Apr 11, 2014 - 1 min read

Craft Beer Underpriced? Primary Image

Using a basic supply/demand chart, he explains that craft beer hasn’t reached the magical “equilibrium” point where supply matches demand (where the two lines cross). He points to super quick sellouts, the recent Hunahpu’s Day disaster, and Craigslist pricing as symptoms. He explains that increasing supply in the craft beer market overall isn’t the answer because beers aren't "perfect substitute goods." He argues that the answer is to decrease demand, and a time-honored way of decreasing demand is to raise prices. Read his blog post and let us know what you think. Should brewers jack up the prices, especially on their rare or limited release beers?

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