Scalping

Scalping

Ethan Stapleton

According to Investopedia, a scalper by definition is “a person who buys large quantities of in-demand items, such as new electronics or event tickets, at a regular price, hoping that the items sell out. The scalper then resells the items at a higher price”. These scalpers will often use bots to automatically purchase as much of an item as possible as soon as it’s available (netacea.com). An example of scalping in recent times is the Playstation 5. This is the newest Playstation model, and it has gained the attention of scalpers. Starting at a retail price of around $500, a consumer looking to purchase a PS5 would need to pay around $800-$1000 because of scalpers. It’s becoming a really big problem especially now with the chip shortage and supply shortage in general. Because of this, scalpers should face some form of punishment if they are caught. Below are the current prices I found on ebay for a PS5. 

Although it is very annoying that electronics like the PS5 and computer parts are becoming way more expensive and are becoming too expensive for a lot of people, at least it isn't putting people at risk, right? Wrong. At the start of the COVID-19 pandemic, some scalpers took it upon themselves to buy large quantities of $1 bottles of hand sanitizer and sold them for as much as $70 (breezejmu.org).This made hand sanitizer extremely hard to find and put many vulnerable people at risk because of it. Below is one of these scalpers who bought a very large quantity of hand sanitizer and had nowhere to sell them. 

One of the ways this scalping problem has affected me is the raised graphics card prices. A graphics card is a computer part that needs to get upgraded from time to time in order to run the newest games smoothly. They are already very expensive as is, but they are even more expensive because of these scalpers. Although my graphics card still works fine for most of the newer games right now, I know that it’s becoming an older and older model as time goes on. I'm torn between whether I should spend the extra hundreds of dollars to buy a graphics card now or to wait for who knows how long to buy a graphics card at a more reasonable price. 

Because of the detrimental effects scalpers have on the already poor supply chain and vulnerable peoples’ safety and wellbeing, and because of how frustrating they can be in general, scalping should be illegal or there should at the very least be some sort of consequence when a scalper is caught. 

Works Cited

“3,801 Results for Playstation 5.” EBay, www.ebay.com/sch/i.html?_from=R40&_trksid=p2380057.m570.l1311&_nkw=playstation+5&_sacat=0.

Breeze, Evan Holden | The. “Opinion: Retail Scalping Should Be Illegal.” The Breeze, 4 Mar. 2021, www.breezejmu.org/opinion/opinion-retail-scalping-should-be-illegal/article_776bbfac-7c60-11eb-8afa-c7bc2d3287f0.html.

Chen, James. “Scalper Definition.” Investopedia, Investopedia, 19 May 2021, www.investopedia.com/terms/s/scalpers.asp.

“Scalper Bots.” Netacea, 7 Oct. 2021, www.netacea.com/glossary/scalper-bots/.

Why is Gasoline so Expensive?

 Why Are Gasoline Prices So High?

Charles Bathke

Usually, gasoline prices will inflate in the spring as companies must switch to using a summer-blend fuel and then go back down to their normal prices as there is less of a demand for gas after summer. This has not been the case recently. Ever since May of 2021 gas prices have been over $3.00 a gallon and still are rising exponentially. In September of 2020, the price of gas per gallon was $2.248 but only a year later the price increased by over a dollar and now is $3.384 per gallon. This brings up the question why is it that gas prices are being inflated so much? Everyone has their own beliefs in which gas prices are increasing, but the real reason is that oil is becoming a scarce resource and the demand for gas has been rapidly increasing. 

As the price for oil keeps increasing, the gas price will increase with it. As you may or may not know oil is a necessary ingredient to make gasoline. “40% of a barrel of oil is used to produce gasoline,” states energy.gov. Oil is considered a scarce resource because there is less supply available than what is demanded. This will cause gasoline prices to rise so that the supply to demand ratio can be even. According to convenience.ord, “Oil prices have gone up 48 cents per gallon in the past two months. During this time gas prices have increased 15 cents—from $3.17 to $3.32 per gallon.” This proves that when oil prices inflate, gas prices inflate with it.

Covid is becoming less relevant meaning more people are willing to go places. This is increasing the gasoline demand. There is more demand for oil than there is to supply forcing the oil prices to increase. According to businessinsider.com, “The number of vehicle miles traveled measured by the Federal Highway Administration plummeted in spring 2020, but in the last few months, highway traffic was back up to what would normally be seen in midsummer.” As you can see in the graph, there were so many fewer people driving in April of 2020 compared to any other month. In April of 2020 gas prices were under 2 dollars per gallon. Now when you look at how many people are on the road it is the same as usual which inflates the gas prices to $3.384. This shows that when the demand for oil and gas is decreasing the price of oil and gas will decrease too. 

In conclusion, gasoline prices have been inflated insanely high but there is an obvious cause. The more scarce oil becomes and as the demand for gas keeps on increasing, the price for gasoline will continue to inflate. 

Works Cited

U.S. All Grades All Formulations Retail Gasoline Prices (Dollars per Gallon), www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=pet&s=emm_epm0_pte_nus_dpg&f=m.

“The How's and Why's of Replacing the Whole Barrel.” Energy.gov, www.energy.gov/articles/hows-and-whys-replacing-whole-barrel.

Kiersz, Andy. “3 Reasons Why Gas Prices Are so High Right Now.” Business Insider, Business Insider, 9 Nov. 2021, www.businessinsider.com/why-are-gas-prices-so-high-right-now-3-reasons-2021-10.

“Why Gas Prices Are Rising When They Should Be Falling.” Convenience.org, www.convenience.org/Media/conveniencecorner/Why-Gas-Prices-Are-Rising-When-They-Should-Be-Fall.

Credit Cards vs. Debit Cards

 Cheyenne Kaatz,

All you see in this day and age are people purchasing goods, swiping cards, and paying using their mobile devices.

As checks and cash are quickly becoming a thing of our past, it is now more beneficial and convenient to carry

non-cash payment options around - which include both credit cards & debit cards. It is critical to know about credit and

debit cards as each have different purposes and are more beneficial or less helpful for different scenarios. In this blog,

you will learn about both cards, the major differences and when to use the right one. 

A debit card is the first payment option and can be used to obtain cash or to buy goods/services. The debit card draws the

funds immediately from your checking account which means that your spending amount is limited to what's available

in your checking account. When using your debit card, the exact amount of money you have to spend will change

from day to day along with your account balance. Debit cards are set up with PIN numbers that are used when making

transactions, this is a security measure and adds safety to your bank account. Debit cards are best to use on smaller, essential

purchases that you can quickly pay for from the security of your checking account while credit cards can be helpful for

making larger purchases or handling unexpected expenses that you either cant or don’t want to pay in full right away. 

Credit cards are another form of payment issued by your bank or financial services. This card allows the cardholder

to pay for goods and services based on their accrued debt, with the agreement that you will ultimately pay back the

card issuer for the costs of whatever you purchased along with fees and interest. In the end, a credit card acts like a loan

that enables you to make whatever purchase now and pay back later at a higher rate (usually with interest). 

 

When comparing debit cards to credit cards, it's important to know that they are both used in different instances, and one might provide more benefits than the other in a certain event. With a credit card, you are essentially borrowing money from your line of credit, as with a debit card you are making purchases and using money right out of your own bank account not having to pay back anyone. Using your credit cards for your purchases also guarantees you have a financial grace period - often between 21 and 30 days - after the close of your billing cycle to pay back any money without interest. If you are unable to pay it back within that time frame, you may have to pay interest depending on your card (promotional rates of interest depend on your bank), which you will be charged and expected to make minimum monthly payments until your balance is paid off. If you're wondering what the spending limit for credit cards are, you will be told that it is all determined by the credit cardholder’s credit scores and reports, which credit card companies will review before giving you a credit card. Credit cards also can help provide benefits for you as the bank technically pays for your purchases through your card with the exception that you pay it back at the same higher cost, they can help build credit, and you can earn card rewards and cash back! Although for some people you can have limited credit card opportunities due to poor credit history, things like a debit card with rewards does exist but not too often. Debit cards are also better for cash withdrawals and helping avoid overspending and debt.

Overall, both debit cards and credit cards play important roles in our day to day lives and are needed for making purchases

in our future. As each card has its own benefits and externalities of using each one in a certain situation. Finding out

which one, or both, fit best in your life is a decision you have to make as it will impact you and all your future spending decisions. 

Works Cited

Lamberg, Erica. “Here Are 4 Times You Should Reach for Your Debit Card over a Credit Card.” CNBC, CNBC, 23 Oct. 2021, www.cnbc.com/select/when-is-it-better-to-use-a-debit-card-over-a-credit-card/.

Pritchard, Justin. “Should You Spend With Debit or Credit Cards?” The Balance, The Balance, 12 July 2021, www.thebalance.com/should-you-spend-with-debit-or-credit-cards-315480#:~:text=A debit card is better,you stick to safe ATMs.

Working Out in the Pandemic

 Zoie Knisbeck

Throughout the pandemic the fitness industries have most likely changed forever. The biggest impact was for the livelihood

of the in person gyms. People could not go to the gym so companies did not have any revenue; this caused many clubs to close

and face bankruptcy. Another big impact would be how the pandemic caused many gym industry employees to be laid off.

The pandemic also affected the gyms and their futures, as many gym members are not playing to return to the in person workout facilities.

Throughout all of this it also opened a small window of opportunity for gyms that are online and companies that make at home equipment

like peloton. 

Many clubs and gyms had to face bankruptcy during the pandemic. Run Repeat states that “More than 38,000 gyms and health

clubs have been closed down because of the virus as of May 2020” showing how detrimental the pandemic was to these clubs.

And continuing on through the pandemic some of the few clubs that were able to survive might not do so well in the future,

according to CNBC “More than 56% of those surveyed say that the pandemic helped them find ‘more affordable’ ways to get exercise

and live a healthier lifestyle.’” Meaning that the gyms will not have as many members and might not be able to get back to where they were

before the pandemic. 

Many gym industry employees had to be laid off as a result of the pandemic. WESH states that “The fitness industry employed 3

million part-time and full-time employees prior to the pandemic, and as of Oct. 1 at least 480,000 jobs have been lost” explaining

how the pandemic affected the employees as well as the gyms as a whole.  

Yet throughout all of this many online gyms were able to thrive. Because of the covid lock down many people found comfort in

being able to work out again even if it was at home. Because the imperson gyms were shut down this created opportunities for at

home brands to grow. Brands like TRX, Bowflex, and Peloton were able to produce the equipment the consumers needed.

The Washington Post  states “Health and fitness equipment revenue more than doubled, to $2.3 billion” Showing how much of a

need there was and how the businesses were able to adapt in this time of uncertainty. This can even be seen past workout equipment,

the trends of bettering oneself expanded to bicycle, kayak, skis and snowshoe companies.  

Works Cited

Bloomberg.com, Bloomberg, www.bloomberg.com/news/articles/2021-01-19/fitness-industry-may-never-return-to-its-old-ways-after-covid-19.

JadeScipioni. “59% Of Americans Don't Plan to Renew Their Gym Memberships after Covid-19 Pandemic: Survey.” CNBC, CNBC, 12 Jan. 2021, www.cnbc.com/2020/07/23/many-dont-plan-to-renew-their-gym-memberships-post-pandemic-survey.html.

Rizzo, Nicholas. “COVID's Impact on the Fitness Industry [35  Stats and Facts].” Athletic Shoe Reviews, 6 Aug. 1970, runrepeat.com/pandemics-impact-fitness-industry.

Shaban, Hamza. “The Pandemic's Home-Workout Revolution May Be Here to Stay.” The Washington Post, WP Company, 8 Jan. 2021, www.washingtonpost.com/road-to-recovery/2021/01/07/home-fitness-boom/?outputType=amp.

Should You Invest in Stocks

 Isabelle Fowler

What is a stock actually? A stock is a share within a company that represents a piece of ownership equity in the company,

meaning shareholders get voting rights on company actions and claims on corporate profits. Stocks are exchanged within a

stock market, where individuals and companies come together to buy and sell shares. Shares are priced by supply and demand

in the market. Market flow and exchanges are monitored by specialists in order to maintain an orderly and fair market. These exchanges

have specific terms, bid and ask. A bid is the price buyers are willing to pay for a stock and an ask is the price that sellers

are willing to accept for a stock. There are two basic types of shares, common and preferred. While the two are almost identical,

the difference is that common shares generally have voting rights within a company - things such as voting in a board of

directors - while preferred shares do not. That being said, preferred shareholders have preference over assets and dividends in the event of a

liquidation. 

Why do businesses sell shares? Businesses grow at a rapid pace, going from being an idea in an entrepreneur’s head to a

functioning business, and in order to keep up with this, businesses need lots of capital. A business can raise capital through selling

shares or borrowing money. Borrowing money isn’t always the best route because startup businesses have fewer assets to pledge for a loan.

Loans also create interest which can end up being a bigger financial burden. 

How do I buy stocks? The best place to start is through an online stockbroker. Once you open and fund your account, you can

find and buy stocks through the website immediately. Alternatively, you could buy stocks from the company directly, or

use a full-service stockbroker. Opening an account on a stockbroker website is similar to opening a bank account, you provide

your information, proof of identification, and fund your account through electronic transfer or mail-in. Before you bid for a share,

do some research into the company, make sure it’s something you truly want to invest in. Having this background information will make

you feel more confident about your purchase. When first entering the world of stocks, it’s best to start small - with just one share.

This makes it easier to manage and monitor your money.

Of course, the stock market has its pros and cons. You could earn benefits including dividends or an average annualized return of 10%;

however the stock market is unpredictable so returns are never guaranteed. The company can decide to return money to its shareholders

via dividends - this is cash paid to you on a regular basis just for being a shareholder. As a business grows, the value of their stocks

increase, and when you’re ready to sell, you’ll pocket the difference. 

In order to become a successful investor, you should invest in a business that you will hold onto for 5+ years. This means the company

should be one you believe in. When you appreciate what the company is doing, you’re more willing to stick with them. 

Research:

https://www.investopedia.com/articles/investing/082614/how-stock-market-works.asp 

https://stockmarket.com/ 

https://en.wikipedia.org/wiki/Stock_market 

https://www.nerdwallet.com/article/investing/how-to-buy-stocks 

https://www.investopedia.com/articles/basics/06/invest1000.asp

https://www.thebalance.com/stock-investing-for-the-individual-investor-3306182 

https://medium.com/@jamesldunne/why-buy-stocks-9be722a2af47