Why is the cost of living going up when technology should allow humans to increase productivity while decreasing human workload?
In: Economics
Because I, the business owner, don’t give a shit if it costs me less to make something. I’m going to charge what people are willing to pay for it and pocket the difference.
If it used to cost me $100 to make something that I sell for $250, just because it now costs me $10 to make it doesn’t mean I’m going to start charging $25. Or even $160. I’m going to charge you $250 still because that’s what you’re willing to buy it at and I know that because you’ve done it already.
Hell I might even charge you more, because I know you want what I sell.
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