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Elliot Lipnowski @elliotlip.bsky.social

My reasoning: the marginal cost is negligible relative to revenue, so it's a demand question. I think charging more to listen double-speed is effective price discrimination, since I would guess the people that want the fast version are less price-elastic.

sep 13, 2025, 11:11 am • 0 0

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Trending Socks @machineecon.bsky.social

Yup. So it sounds like we agree on economies of scale but it may also depend on the nature of the imperfect competition. Another twist would be on whether the fast listeners can download, which would mess up the ability to price discriminate.

sep 13, 2025, 3:05 pm • 0 0 • view
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Elliot Lipnowski @elliotlip.bsky.social

I think there’s still an opportunity for price discrimination since the thing you’re screening on is how much time people are happy to spend on consuming the same content. And extra steps take time—so it’s similar to coupon clipping as price discrimination.

sep 13, 2025, 3:42 pm • 1 0 • view