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Originally Posted by GGG
Automation decreases the cost of producing a good.
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We’re not really debating that though, BoLevi is arguing that it makes the retail price fall.
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If there is sufficient competition then prices will drop. If there is insufficient competition profit will rise. You could also increase taxation as a result of automation so society captures the benefit.
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In theory you may be correct, mind you this would still be true for non automated companies as well. However one should be able to provide a single example of consumer prices actually falling as a result of automation if they are going to claim that automation makes prices drop.
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Either way automation is good, government regulation needs to ensure that good serves society as a whole.
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I’m not sure that’s what businesses had in mind when they decided to invest in automation.
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In terms a a Big Mac automation could also prevent the price from rising or prevent the product from being made marginally smaller to reduce its cost. There are lots of ways to spend the benefits of automation.
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Yeah I’m sure automation can do lots of stuff, but again that’s not the discussion here. All I’m asking for from BoLevi is a single example where automation resulted in a price drop for a product. A hypothetical example would be if McDonald’s installed the order machines and immediately dropped their prices, unfortunately we know that didn’t occur so now I’m waiting for BoLevi to provide a similar example. BoLevi already stated there were many examples, so I don’t think it’s unreasonable to expect for Bo to provide at least 1. If there are as many examples as BoLevi is boasting it shouldn’t be difficult or take this much time but here we are.