Hidden Benefit of Technology

One thing people miss has to do with technology. We are so bound up in money when we try to compare services or products of different ages, we often miss one good bit of news that comes to a technological country.

On one hand, it’s true that something that costs more in later decades than it was first recorded does reflect a type of inflation. The same thing costs more now than it did before.

But add in technology, and the picture is skewered.

For example, look at the PC revolution. There is a well known law that governs Silicon Valley which says that for every so many months, the power of computers (in the sense of what it is capable of producing) doubles while its cost drops to half of its previous value.

 In language more easy to understand, even though something might cost more today than it did twenty years ago, if the product or service becomes more valuable with newer technologies, it might produce many times over than what we would have received from the same item twenty years ago.

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