Why are some things more expensive than others?

[AviatorTom]

Over a 20-year period (as shown on the graph below), the cost of some things have increased faster than inflation, while others have remained the same or decreased. Why do you think that is?

This data applies to the United States, but we suspect that similar things happen in other countries.

[NamerOfStars]

Because inflation's an average. Supposedly, all the gold ever mined on Earth would fit into a cube 18 yards on a side. That's a big cube, but remember, that's ALL of the gold. If I discover a cave containing the lost treasure of Carrot Top, which contains twice that much gold, what's going to happen to its price as a commodity? Well, if rumors leak out, it'll sink a little. If I start selling bits and pieces of it, the increased supply will cause a price drop, too. If I throw open the doors (this cave has doors) and let it ALL out, the price will fall through the floor.

Meanwhile, if someone develops a way to make televisions, say, using a manufacturing process that's quicker and cheaper, the price of TVs will go down (ONE company might not change them, to raise its profits, but since there's competition in that area, others will, and no one will buy the more expensive company's).

[ArrowheadSW]

I can't get over how much more expensive college is now compared to the past. It has greatly outpaced inflation, such as the chart shows.

[MCheetah]

College is also more useless now than ever before, in both getting hired and the woke brainwashing BS they teach in them. I only got my Masters a few years ago, so I know.

[ArrowheadSW]

@MCheetah Way back when I graduated it wasn't that bad even with a grad degree. Now I'm not sure what I would do college-wise.

[OlderAndWiser]

It’s all driven by supply, demand, and what the market will support.

[MCheetah]

Usually the more expensive things are privatized and abused by corporate monopolies with little to no oversight over them, like medication, medical care, and university tuition. Things that usually have heavy competition in the marketplace, tend to be cheaper over time.

So the short answer is, monopolies.

[Be3Bee]

Because of improvements in technology (TV) make stuff more accessable (more producers, lower relative investment into production), increase in population (food production can't keep up), and probably introduction of safer, long lasting but expensive techlogies into medicine (titanium implants,...).

I remember how USB flash drive with 2 GB did cost some 15 years ago almost the same amount of money a new one from the same manufacturer with 256 GB costs today.

[MCheetah]

A 2 GB flash drive was $30 where you lived in 2007? I don't remember them being that much, and I owned a 500 MB one.

[Be3Bee]

More like 60$ according to my USD to local currency ratio at that time. I remember that because it was my 2-3 monthly allowances. Though it wasn't one of the cheapest ones, it was a Kingston.

[MCheetah]

Kingston is overpriced trash. Even today. That sh*t still costs like $50 nowadays.
www.amazon.com/.../B09DVPH8NQ

[Be3Bee]

Funny how this "trash" is still working even after 15 years.
And see, similar price yet the capacity is 128× higher than 15 years ago.

[ArtemisSilver]

College has changed from an optional upgrading pathway to a given, and since it's government funded in the US without having to justify the value of the degrees on offer in an open market, the price has exploded.

It's become just another way to chain the lower classes with debt.

[jamesgoldman]

The higher things are those with no real workaround

The lower things are made in higher volumes and/or worse quality

The balanced things are required pretty much by everyone and are somewhat and element of the economy's backbone

[NathanDavis]

because some people are willing to pay for it...

[exitseven]

Law of supply and demand. Also new technologies have been developed to make things less expensive.

[TroyDT]

Supply and demand, plus increases or decreases in specific production costs.