6 ms·

>prices are going to move up 20-30% for a year or two I have never ever in my whole life seen prices going down after they have gone up. Ever.

wiz21c 5y ago
oil price do that all the time: up, down...
- ComputerGuru 5y ago
  Yes, publicly traded commodities do all the time because it means there are temporary inefficiencies in the system that can be arbitraged to turn some profit, until they converge at the “correct” price for some period of time. But GP is correct, products typically don’t come down in pricing. Consumable goods are more elastic in a free market absent collusion, but finished honest-to-god products have a well-known price stickiness problem. (The price will come down, but rarely back to what it was.) Typically the only way that cycle is broken is when the product itself is obviated/supplanted by a replacement (eg an iPhone will never get cheaper but some new phone may come out that is cheaper and everyone moves to it). These are all obviously generalities though.
  - scheme271 5y ago
    But they tend to do if there's a temporary price shock. Think hard drives after the thailand floods or gpus during and after a cryptomining boom/bust cycle. Or used car prices after the cash for clunkers bill.
  - wmf 5y ago
    Stickiness seems to apply to MSRP which has mostly not gone up.
  - Zanni 5y ago
    I'm surprised you mentioned iPhones, because that's exactly Apple's strategy. They tend to keep three generations around, and each time they introduce a new iPhone, they knock down the price of the previous generations. Here's [0] an article on them reducing the price of the iPhone 8 by $150 (from $559, so a significant cut of 25%) when they introduced the iPhone 11. [0] https://venturebeat.com/2019/09/10/apple-cuts-iphone-8-and-iphone-xr-prices-by-150-kills-iphone-7-and-iphone-xs/ https://venturebeat.com/2019/09/10/apple-cuts-iphone-8-and-i...
Andrew_nenakhov 5y ago
I counter this. In my country, medical mascs were sold at 100+ their regular price last spring. Now they are at their regular pre-pandemic prices.
aj7 5y ago
Gas prices? It’s supply and demand. Prices fall if there is a surplus.
umvi 5y ago
Gasoline?
Tenoke 5y ago
Have you not bought hardware? I've seen every computer part come down in cost over the years even after briefly becoming expensive through my life that recent trends have been odd to me.
grioghar 5y ago
RAM. Harddrives. Video cards. Gas. Bitcoin. Gold. C’mon meow. Hyperbole helps no one.
megablast 5y ago
You don’t buy gas??

wiz21c 5y ago

oil price do that all the time: up, down...

ComputerGuru 5y ago
Yes, publicly traded commodities do all the time because it means there are temporary inefficiencies in the system that can be arbitraged to turn some profit, until they converge at the “correct” price for some period of time. But GP is correct, products typically don’t come down in pricing. Consumable goods are more elastic in a free market absent collusion, but finished honest-to-god products have a well-known price stickiness problem. (The price will come down, but rarely back to what it was.) Typically the only way that cycle is broken is when the product itself is obviated/supplanted by a replacement (eg an iPhone will never get cheaper but some new phone may come out that is cheaper and everyone moves to it). These are all obviously generalities though.
- scheme271 5y ago
  But they tend to do if there's a temporary price shock. Think hard drives after the thailand floods or gpus during and after a cryptomining boom/bust cycle. Or used car prices after the cash for clunkers bill.
- wmf 5y ago
  Stickiness seems to apply to MSRP which has mostly not gone up.
- Zanni 5y ago
  I'm surprised you mentioned iPhones, because that's exactly Apple's strategy. They tend to keep three generations around, and each time they introduce a new iPhone, they knock down the price of the previous generations. Here's [0] an article on them reducing the price of the iPhone 8 by $150 (from $559, so a significant cut of 25%) when they introduced the iPhone 11. [0] https://venturebeat.com/2019/09/10/apple-cuts-iphone-8-and-iphone-xr-prices-by-150-kills-iphone-7-and-iphone-xs/ https://venturebeat.com/2019/09/10/apple-cuts-iphone-8-and-i...

Andrew_nenakhov 5y ago

I counter this. In my country, medical mascs were sold at 100+ their regular price last spring. Now they are at their regular pre-pandemic prices.

aj7 5y ago

Gas prices? It’s supply and demand. Prices fall if there is a surplus.

umvi 5y ago

Gasoline?

Tenoke 5y ago

Have you not bought hardware? I've seen every computer part come down in cost over the years even after briefly becoming expensive through my life that recent trends have been odd to me.

grioghar 5y ago

RAM. Harddrives. Video cards. Gas. Bitcoin. Gold. C’mon meow. Hyperbole helps no one.

megablast 5y ago

You don’t buy gas??