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Date:      Wed, 15 Dec 1999 16:43:30 -0800
From:      "David Schwartz" <davids@webmaster.com>
To:        "Brett Glass" <brett@lariat.org>, "Jonathon McKitrick" <jcm@dogma.freebsd-uk.eu.org>
Cc:        <chat@FreeBSD.ORG>
Subject:   RE: Video Stupidity 
Message-ID:  <000101bf475e$92e396f0$021d85d1@youwant.to>
In-Reply-To: <4.2.0.58.19991215173848.00ca4ba0@localhost>

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> At 05:23 PM 12/15/1999 , David Schwartz wrote:
>
>
> > > >Wouldn't that just encourage other companies to sell _cheaper_?
> > >
> > > Nope; it's like airline pricing. When the leader goes up, the others
> > > generally follow.
> >
> >         Yes, but the others don't set their pricing quite as
> high as the leader
> >does.
>
> Not true -- particularly not in the airline business.

	I guess I must have imagined those fare wars then. In any event, this is
not a very good example because there are tremendous (and unique) barriers
to entry in the airline business. For example, foreign airlines are still
effectively prohibited from competing on domestic routes.

> But then, you have displayed in previous messages your lack of knowledge
> of economics.

	Ah, your famous ad hominem.

	DS



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