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Comment Re:US dollar (Score 1) 192

Why does the US dollar have value?

Same reason anything has value: supply and demand. The supply of dollars is essentially determined by the Fed, and demand is driven by its ability to buy things (think: why do you want money?). At the intersection of supply and demand, you have the "price" of a dollar, found just like the price of a bushel of corn or a neglected Beanie Baby.

So, how does a Bitcoin come to bear the price it does? Supply and demand again--except supply is controlled by an algorithm instead of the Fed, and demand is driven mostly by speculation and its utility in sending money without having it all stolen by PayPal. Increasingly, you can also buy things with it.

Submission + - Community-sourced news site, soylentnews.org, goes live 18

umafuckit writes: soylentnews.org is the new way of taking the pulse of the nerd community. Soylentnews is a grassroots-based platform with the content feeds are powered by readers like you. The objective is to highlight news stories of general importance to everyone, but especially nerds. News about technology, art, science and politics: it's all there. Soylentnews is the new kid on the block and will adapt quickly to satisfy our community's needs and and push boundaries like never before. This is a real community site: no changes in format without a general consensus from the community. Stop by and see what you think of the freshly-launched site.
User Journal

Journal Journal: Gone Soylent 3

http://soylentnews.org

We're finally open!

Submission + - AltSlashdot is coming (altslashdot.org) 3

Okian Warrior writes: I've registered "AltSlashdot.org". I intend to run a site much like Slashdot used to be — better articles, less decoration and less "in your face" functionality. I'm reviewing and getting comfortable with slashcode right now. I'm looking for volunteers to help with setup and running the site. If the site becomes profitable, I intend to hire from the pool of volunteers. If you've ever wanted to participate in a site like Slashdot, here's your chance! I'm particularly in need of people who can:
  • Set up and manage a high-traffic site (servers, load-balancers, data sites, &c)
  • Edit story submissions
  • HTML, CSS, and script creation/bugfix/repair

Contact me if interested John (at) AltSlashdot (dot) org

Comment Re:Economics (Score 2) 437

Well, that's what makes it interesting. Nobody objects to selling a high-end model for a high price, and a low-end model for a low price. Under highly idealized circumstances, feature-keying would let us sell both models for less due to savings in manufacturing and supply chain complexity. Isn't that cost reduction a healthy sign, even if both cars are the same underneath and we've converted tangible, physical differences into pure price discrimination?

But, like you said, feature-keying implies it's still profitable to sell the high-end model at low-end prices, since the high-end model is the low-end model now. And, as you also said, we'd expect the price of the high-end model to fall if the auto industry is the least bit competitive.

However, if it now costs the same to manufacture the high- and low-end models, why manufacture the low-end model at all? Now, we've lost consumer choice: Before, if you were price sensitive, you could pick a lower-end model to save money. Now, there is no lower-end option, even if the higher-end is no longer as expensive as it once was. Sounds unhealthy, doesn't it?

To wit, the only company that made this work was IBM, and they definitely weren't charging market prices for hardware.

Comment Economics (Score 2) 437

This could, in theory, work out if producing a single model with all the features saves money over manufacturing every permutation of radio/seats/trim/etc. The high-end would cost less, while still allowing more spartan options for those who want to save money.

In practice, I suspect it's a way to jack up the cost of new vehicles and turn every "sale" into a rental. Not sure if this will help or hurt dealerships--if all the options are already in the car, how will the middlemen get their cut of the value-adds?

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