Market run
A market run or run on the market occurs when consumers increase purchasing of a particular product because they fear a shortage. As a market run progresses, it generates its own momentum: as more people demand the item, the supply line becomes unable to keep up. This causes a local shortage, which in turn encourages further hoarding.
Examples include a run on the gasoline market following hurricane Katrina in 2005, an ammunition shortage following President Obama's election in 2008,[1] and a run on toilet paper following a Johnny Carson joke on The Tonight Show in 1973.[2][3][4]
Relationship to panic buying
[edit]The phenomenon described as a market run is closely related to the well-studied economic behaviour known as panic buying, in which consumers purchase unusually large quantities of goods in anticipation of a shortage or crisis. In economics, panic buying refers to a rapid surge in demand driven by fear of future scarcity, often exacerbated by social influence and media reporting, which can itself create or worsen shortages.[5]
Academic analyses describe panic buying as a response to anticipated supply disruptions, where consumers attempt to acquire essential goods before they become unavailable, leading to temporary shortages and stockouts even in well-supplied markets. Such behaviour has been observed across diverse contexts including health emergencies, natural disasters, and supply chain disruptions, and can generate self-fulfilling shortages when consumer actions outpace supply capacity.[6]
See also
[edit]References
[edit]- ↑ "US Elections - Times Online - WBLG: Gun sales soar following Obama election". Archived from the original on 2009-12-05. Retrieved 2010-01-20.
- ↑ Evon, Dan (16 December 2014). "Did Johnny Carson Cause a Toilet Paper Shortage in 1973?". Snopes. Retrieved 13 March 2020.
A long-circulating rumor holds that the late-night host inadvertently caused a consumer run on bathroom tissue.
- ↑ Crockett, Zachary (9 July 2014). "The Great Toilet Paper Scare of 1973". Priceonomics. Retrieved 13 March 2020.
- ↑ Brochetto, Marilia; Botelho, Greg (12 September 2013). "Facing shortages, Venezuela takes over toilet paper factory". CNN. Retrieved 13 March 2020.
- ↑ "Panic buying and consumer behaviour during crises". PubMed Central. Retrieved 23 February 2026.
- ↑ "Panic Buying Behaviour Analysis". MDPI. Retrieved 23 February 2026.
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