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by doctorM 1024 days ago
This is nonsense. The demand curve as a concept only deals with singular prices, and the slope of it is particular to a particular product.

The Pareto principle (80% of good thing x comes from 20% of input y) is over-used everywhere, this is the first time I've seen it applied to pricing. Funnily enough the first time I saw it wasn't in economics but in a human interaction course.

While the 4x multiple of pricing tiers might be a good idea, this article certainly doesn't make a good case for it.