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Pastimes : Austrian Economics, a lens on everyday reality
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To: Don Lloyd who wrote (331)12/9/2003 12:59:07 AM
From: Wildstar  Read Replies (1) of 445
 
Don,

Perhaps it might be useful to go to the heart of the matter, and come back later to these minor discrepancies.

As I understand your point -

1) Consumer goods are generally cheap as the decisions for buying them are directly in the hands of consumers.

2) NFOPs are also generally cheap because they usually also serve as consumer goods, with the marginal buyer likely a consumer rather than a supplier.

3) SFOPs are not generally cheap because a suppliers have no incentive to bring down prices (during purchase of the SFOP).

Wildstar
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