Monday, September 08, 2003

Inflation, Deflation: A door vs a P4

I've ordered a state of the art Windows machine for our home network. It's replacing an older machine that will be retired to running Windows 98 and children's games -- with no network connection.

The new machine has about as much memory and CPU power as serious mainframes did about 15 years ago. It will cost me about $850 US; you could buy a similar machine from Dell for about $1600 US (admittedly with lots of "extras" that are of little use to me).

My parents are buying a new back door; the old one expired. It will cost about $600 US.

Once upon a time, the door would have been fairly inexpensive, and the computer affordable only to a large corporation.

They need the door more than I need the PC.

So, is this insane deflation, or significant inflation? It all depends on what you need to buy.

In the world of the not-so-far away, it will cost you $15,000 to have your roof shingled, and the PC I just bought will be a children's toy.

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