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Digital goods tend to be inferior goods with inelastic demand curves. As your income rises, your consumption of them doesn't go up after a certain point and pe
by bayareaguy 18y ago
Digital goods tend to be inferior goods with inelastic demand curves. As your income rises, your consumption of them doesn't go up after a certain point and people aren't likely to pay more for a digital good once they have something that is "good enough".
The DTrace guy blogged about this here http://blogs.sun.com/bmc/date/20040828 http://blogs.sun.com/bmc/date/20040828