Pinch point (economics)

A pinch-point is the level of inventories of a commodity or product below which consumers of that commodity or product become concerned about security of supply. When inventories are below the pinch-point, small changes in the balance of supply and demand can cause large changes in the price of the commodity or product.[1][2]

The term was suggested in 1988 by Walter Curlook (Executive Vice-President of Inco Ltd) and was first published by Raymond Goldie with Rob Maiman in 1990. In 2000 Raymond Goldie trademarked the term.

References

  1. ↑ Raymond Goldie and Rob Maiman (1990). Pacific Rim 90 Congress of the Australasian Institute of Mining and Metallurgy.
  2. ↑ Raymond Goldie (2005). Inco Comes to Labrador. St. John's, Newfoundland, Canada: Flanker Press. p 61-62. ISBN 1-894463-75-7.
This article is issued from Wikipedia - version of the Friday, January 01, 2016. The text is available under the Creative Commons Attribution/Share Alike but additional terms may apply for the media files.