"People delay buying a new PC as long as possible because they know that their money will buy more of a machine the later that they wait."
I disagree. Someone is buying those 5,000 dollar big screen HDTV's. There is as market for new products before they get to a level of affordability. Why do they even market them? I was in a store today and every tv in there was tagged at several thousand dollars. This store has been in business for at least twenty years. Are you telling me that they are going out of businees? I think not.
"I disagree. Someone is buying those 5,000 dollar big screen HDTV's. There is as market for new products before they get to a level of affordability. Why do they even market them? I was in a store today and every tv in there was tagged at several thousand dollars. This store has been in business for at least twenty years. Are you telling me that they are going out of businees? I think not."
Apples and oranges. You are trying to disagree with my *example*, not my point.
My point was that it is more difficult to speed up the velocity of money when money maintains or increases its purchasing power. I gave you a PC example to help illustrate that concept. Arguing with the illustrating example, however, takes you far away from the point itself.
Then I made another point for you: noting that the faster money loses value, the easier it becomes to convince people to speed up their personal velocity of money.