Calculate the cost.
A smartphone costs $1,000 at 6% inflation per year, what will the cost in 10 years be.
22-25, F
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SteelHands · 61-69, M
You are doing inflation wrong. If the price of a loaf of bread and the price of a washing machine stayed the same over the last century washing machines would cost thousands of dollars. If the price of a soft drink went up as much as cigaretts then soft drinks would cost a hundred dollars a six pack.
The reason for this is that in highly advanced systems some products become closer to necessities. Some products need to advertise and compete. Some are working with or fighting against a rising market share.
A big one is status symbol value that with a thing like a car or a phone, dies out over the years when cost to reliabiity dominates the pricepoints. And were almost already there.
Product liabiity aspects and government legalistic intrusions into both mode of manufacture and feature safety requirements. Then there are also sudden shifts in personal behaviors that open new avenues of competition. In other words, first there was the wash machine. Then came laundrys and dry cleaners. Then came self serve laundromats, permanent press fabrics, and wring free spin cycles.
And limited demand or use access. This is true of almost every comoddity. I can still buy a horse saddle or buggy whip or boat anchor for a cost that only accounts for the contemporary numerical money figures but infation has no bearing on the cost of a cumberbun or a debutante tiarra.
Tools, and in particuar communication tools, will always level off in price and then eventually a company will find a way to corner most of the market by reducing price far far below expected and historical ones. These phones are no longer markers of status any longer.
The reason for this is that in highly advanced systems some products become closer to necessities. Some products need to advertise and compete. Some are working with or fighting against a rising market share.
A big one is status symbol value that with a thing like a car or a phone, dies out over the years when cost to reliabiity dominates the pricepoints. And were almost already there.
Product liabiity aspects and government legalistic intrusions into both mode of manufacture and feature safety requirements. Then there are also sudden shifts in personal behaviors that open new avenues of competition. In other words, first there was the wash machine. Then came laundrys and dry cleaners. Then came self serve laundromats, permanent press fabrics, and wring free spin cycles.
And limited demand or use access. This is true of almost every comoddity. I can still buy a horse saddle or buggy whip or boat anchor for a cost that only accounts for the contemporary numerical money figures but infation has no bearing on the cost of a cumberbun or a debutante tiarra.
Tools, and in particuar communication tools, will always level off in price and then eventually a company will find a way to corner most of the market by reducing price far far below expected and historical ones. These phones are no longer markers of status any longer.