A895
Well-known member
- Aug 2, 2012
- 2,369
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Personally, I think that smartphones are overpriced across the board. Device manufacturers primary distribution channels (at least in the in the United States) are via wireless carriers and their channel partners who operate within a natural oligopoly created by the scale required to build out a network. As a result of imperfect competition, carriers have historically utilized cartel pricing to take economic profits. I'm a big believer in public choice theory and though the anti-trust legislation in the United States has been used in the past to regulate monopolies, overall it has done a pretty poor job of addressing this issue. And because this is consumer facing issue and there's so much informational assymetry, the general public is rationally disinterested from the regulatory process. I see the FCC as basically a captive regulator. But hey, you're right, none of my degrees are in economics. I just took a lot of electives.
You have a problem with the wireless industry which your problem, I am talking about the phone itself. If you remember smartphones were even more less than a decade ago. For phones like the Moto G to be $179 and the Moto X to be $499 is very good. I remember paying $200-$300 (on contract!) for a 3G slider 5-6 years ago, oh how times have changed.