Brent > wrote in news:idjhfm$gm3$1
@news.eternal-september.org:


>
> Deflation (of the prices of goods) is the natural state of free market
> enterprise, and this can be seen in products that beat the rate of
> inflation. Prices continually decline in constant dollars. Electronics
> is a prime example.
>



Electronics are still a relatively new technology, so there's a lot of
low-hanging fruit available.

Any new technology will see dramatic price reductions as the technology
matures. By 1900, petroleum and steel had dropped to about 10% of their
1870 prices.

Plus, electronics have mostly escaped regulation and legislation, so
there are few barriers to innovation. Can't say that about cars, anymore.



--
Tegger