3 ms·
> The incentive to lower the cost should still be there. the incentive is for the buyer. the seller has no incentive. seller's incentive is to raise the price
by metaphorm 10y ago
> The incentive to lower the cost should still be there.
the incentive is for the buyer. the seller has no incentive. seller's incentive is to raise the price as high as possible before it begins to curtail demand. if demand is held constant (or even stimulated to new growth) by supplying debt financing, then the seller will just keep raising costs.