Hacker News new | ask | show | jobs
by DeathArrow 916 days ago
>Experiences are expensive. Things are cheap(er).

Some experiences are expensive, some are free. Things are never free.

Why are things expensive? Because everyone will charge you the most they can get away with. Part because of supply and demand, part because they use your desires against you, part because they have to be profitable.

3 comments

Things are expensive, as are experiences, because companies and people earn there living creating them. Man, I hate the take of "everyone else is charging too much", because we all do that, don't we? We negotiate higher salaries, switch jobs and move to improve living standards. And each and every dime we make is ultimately paid for by someone else.
Sure, but if prices rise high enough, that high demand induces more suppliers of those services. In cities, where rent is 3-5x that of rural areas, new suppliers cannot enter the market to provide more of that service unless it involves wages high enough to pay for rent. There is a finite amount of space in a city, especially those as extremely zoning-constrained as American cities.

https://en.wikipedia.org/wiki/Baumol_effect

This "everyone will charge you the most they can get away with" doesn't always have to mean prices go parabolic forever; we can enact simple urban land use reforms that allows more housing units and commercial spaces to be built, which can reduce the price of rent for businesses and the rent of housing units that businesses pay indirectly via wages.

well, no, there are a lot of places where you can get used things (or sometimes even new) for free that still in good condition
Not where I live.
Where's that? I live in France.
I live in Romania.