• bahn_pho@alien.topB
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    1 year ago

    It only lowers prices for a brief period, and then it jumps significantly.

    • short term = oversupply = same product for lower price
    • long term = company reacts to reduced market by decreasing production & support. Price jumps. Product quality declines, and possibly discontinued if bad enough.

    Sanctions dont make the market more robust or healthier. They artificially carve it into pieces, which in the longterm creates poorer products, creates monopolies, and eventually ends up enforcing those monopolies by strangling off any would-be competition.

    In this example:

    • Losers: amd, companies dependent on amd, all consumers
    • Winners: bureaucracy, government/regulators, dell, “competition” of amd i.e. nvidia&intel, financial institutions, black markets
    • Only_Shift5078@alien.topB
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      1 year ago

      Actually in general, it will lead to lower prices. But yes, in a narrow set of circumstances it could lead to higher prices, although I find it highly unlikely to be the case here.