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Right. Capitalism often leads to suboptimal outcomes (everybody owns a TV somewhere between "mildly annoying" and "downright terrible") because there's no reaso
by JohnBooty 5y ago
Right. Capitalism often leads to suboptimal outcomes (everybody owns a TV somewhere between "mildly annoying" and "downright terrible") because there's no reasonable way to know better, so consumers choose based on the one thing everybody understands: price.
There is also more data out there than ever
before in history about TVs, but I doubt most
people would ever care enough to read in depth
reviews on rtings or whatever.
You can read all of the reviews you like, but the conclusion is the same: you effectively cannot buy a non-smart TV now.
There's also the larger issue of whether it's reasonable for consumers to do so. Educated, informed consumers are always the goal, but at some point this is not reasonable.
1. Consumers can't be experts on everything. Cars, prescription eyeglasses, medicine, home repairs, computers, shoes - there are simply not enough hours in one's life to become a domain expert at everything.
2. A lot of people are, frankly, not the brightest. As the saying goes, half of the people in the world are below average. I don't mean this insultingly, in fact: quite the opposite. Human beings are human beings. We are all worthy of dignity and respect. But being an uber-savvy consumer is less practical for some.
- tremon 5y ago> Capitalism often leads to suboptimal outcomes because there's no reasonable way to know better Also known as the market for lemons: https://en.wikipedia.org/wiki/The_Market_for_Lemons https://en.wikipedia.org/wiki/The_Market_for_Lemons Akerlof's paper shows how prices can determine the quality of goods traded on the market. Low prices drive away sellers of high-quality goods, leaving only lemons behind. In 2001, Akerlof, along with Michael Spence, and Joseph Stiglitz, jointly received the Nobel Memorial Prize in Economic Sciences, for their research on issues related to asymmetric information.