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Because the majority of people -- particularly a technically oriented crowd like we have here on Hacker News -- are seeing the bulk of their costs going toward
by joekrill 10y ago
Because the majority of people -- particularly a technically oriented crowd like we have here on Hacker News -- are seeing the bulk of their costs going toward channels we never watch. Like ESPN. The amount cable providers pay ESPN per viewer is ridiculously high compared to other channels. And for folks who never watch this stuff, we get a bit annoyed that that's what is causing our skyrocketing cable bills.
- jessriedel 10y agoHowever you may think money is earmarked, the proper comparison is to the alternative world where channels are priced a la carte. And the standard econ analysis here is that everyone benefits from these bundles, not just the cable company and not just consumers of popular channels like ESPN. It's all about marginal costs. http://cdixon.org/2012/07/08/how-bundling-benefits-sellers-and-buyers/ http://cdixon.org/2012/07/08/how-bundling-benefits-sellers-a...