Since I write and sell books to get paid for the time I spend thinking, I love Amazon. Not only do they innovate in so many ways, Amazon provides a constant flow of practices that demonstrate anarchy in action. For example, if we had no state-violence backed "intellectual property rights" Amazon shows me I would sell the exact same number of books. Actually, between Amazon and Google, I learned some markets for my book I've since taken over that I would not have otherwise have spotted.
Amazon a few years ago introduced an app called SCAN-IT in which you could scan the barcode of an item in a store and find out if you could get a better deal on Amazon. I hailed it for small businesses since the items we trade in are specialty and anyone scanning would find that our product was NOT available elsewhere and therefore that product in that store at that price should be bought then and there.
Now Amazon has taken that a step forward, and you can just snap a picture of the item and Amazon will call up its best price with the ability to put the item in your shopping cart. As Mish notes, this will assist in deflation (ever lower prices), something we need or else we cannot have economic recovery.
All hail Amazon Flow!
Feel free to forward this by email to three of your friends.
Amazon a few years ago introduced an app called SCAN-IT in which you could scan the barcode of an item in a store and find out if you could get a better deal on Amazon. I hailed it for small businesses since the items we trade in are specialty and anyone scanning would find that our product was NOT available elsewhere and therefore that product in that store at that price should be bought then and there.
Now Amazon has taken that a step forward, and you can just snap a picture of the item and Amazon will call up its best price with the ability to put the item in your shopping cart. As Mish notes, this will assist in deflation (ever lower prices), something we need or else we cannot have economic recovery.
All hail Amazon Flow!
Feel free to forward this by email to three of your friends.
4 comments:
Wouldn't deflation affect salaries as well? (lowering salaries?). Wouldn't deflation being a net good of the economy de a delicate balancing act because its affects on product prices and people's salaries?How can deflation be destructive then?
To state it positively, deflation is good and necessary. AS to salaries, yes, they fall too. Deflation is the reverse of inflation. In inflation, prices rise faster than your salary, you always lose as a few people accumulate opulence. Deflation is the reverse, In deflation, prices fall faster than your salary, you always win as a few people lose opulence.
Today those few opulent people own the media, law,politics, wall street, banks, academia, medicine, religion, etc... they tell you deflation is bad.
http://www.businessinsider.com/gary-shilling-avoid-these-12-investments-in-the-age-of-deleveraging-2010-11?op=1
America appears to be headed for deflation.
How can American Exporters (or importers) manage with, and benefit from, if possible, deflation in the U.S. or in the case of global deflation in foreign markets as well?
I started looking at Schilling's "Age of Deleveraging" book.
I am trying to wean people away form the "investment strategy" school of business development which is inimicable to the "commonwealth building" strategy of business rationale. The question I would entertain is "how can a business better serve the customers in a deflationary spiral." At the specialty level new products, as usual but as costs fall you can get new to the market faster and more new ideas developed.
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