[quote name='whoknows']So...by NOT letting people buy their product they are being "exponentially more effective, from an economic standpoint"??[/QUOTE]
Uh, yes.
Imagine you're considering getting an XBox 360. You're not really sure if you want one or not.
If the consoles are readily available, it's probably not going to change your stance on the situation. Yeah, you might go out and buy a system on impulse... but it's probably more likely that you would've pre-ordered one, if that was your attitude.
Now imagine they create this psuedo-shortage, like some people believe they're doing now. You only kind of wanted one, right? Well... now you can't even get one. They're all sold out. What does it mean if they're sold out? It must mean it's pretty good, right? I mean, it's so popular that every place in town i sold out. So now you're almost going to go out and buy one just because that's what you're "supposed" to do... Everyone else wants one, don't they? It was a mistake of you not to pre-order, wasn't it? What if your best friend gets one before you do? Think of how jealous you'd be...
I don't think it really affects well-informed people. However, I think the ignorant masses fall for this scheme of retailers. I don't really blame them, though: it makes money.
But having less of a product on the market, you increase the desire for one... and the more desirable something is, the more likely you are to buy it.