Sunday, February 11, 2007

Ya Libnan: "Prices of Kalashnikov point to civil war fears in Lebanon"

This article waves its arms quite a bit, but it offers an interesting observation:
What is a Kalashnikov worth is therefore a measure which is used by all parties to determine if they are buyers or sellers.

After the Hezbollah led political crisis sparked deadly Beirut street clashes last month between its supporters and those backing the government of Prime Minister Fouad Siniora, "everyone is looking for guns," said an arms trade businessman

The law of supply and demand is always the king and that includes the price of a Kalashnikov. So What is a Kalashnikov worth today ?

A whopping $700 to 750 dealers say

The price has gone up from $100 when the instability and fear index was low.

According to dealers "Those who have guns are keeping them or not selling except for generating huge profits, and those who don't have them are buying so they can face any eventuality."

Prices of Cartages have followed the skyrocketing prices of Kalashnikovs
A cartridge clip that used to go for $2 now costs $ 20….yes ten times more

Hezbollah led protests and the violence that erupted last month will continue to add upward pressure on the prices of the Kalashnikov.

People are afraid of Hezbollah arms and no longer seem to trust (Hezbollah) claims that it wont use the arms against the Lebanese people. This fear factor is adding to the instability which are jacking up the price of the Kalashnikov. [...]

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