3 ms·
The question contains a false premise. > Paging back through history, there have been very few opportunities for near-zero marginal cost goods. The only way t
by interpenetrate 4y ago
The question contains a false premise.
> Paging back through history, there have been very few opportunities for near-zero marginal cost goods.
The only way that capitalism allows for the production of non-rival use values is by turning them into "club goods" and excluding access to them by state-enforced monopoly (intellectual property laws in this case). There's no shortage of examples of club goods.
The three "downsides" the author lists as unique to club goods aren't unique to club goods at all. (1) All commodity production requires capital ("up front time"); (2) All new commodity categories are risky and only tested when they hit the market; (3) Breaking into any commodity category is next to impossible without sufficient capital.