3 ms·
Can someone explain the final paragraph to me? I don't see how losing $800 million while gaining $150 million is a net positive, which is what the article impli
by tofof 13y ago
Can someone explain the final paragraph to me? I don't see how losing $800 million while gaining $150 million is a net positive, which is what the article implies. Similarly, I don't follow how $800M can be (mere) 1% while $150M "would be a lot". In what way did NYT fail math - bad calculation of one of the two, or not being able to subtract in the correct order?
- lnanek2 13y agoThe $800 million would only happen if one quarter of the prime users left, that isn't certain, just an if. It doesn't make sense to add and subtract them. The $150 million is certain due to price increases unless people leave. If you were the business deciding things you'd actually have to multiply the 800 by the probability of it happening to get the expected value, for example, and of course there's the factor that people leaving cut into the effectiveness of the price raise as well. I think they did it simplest just by stating the two numbers separately.