[quote=FlyerInHi]Econprof, I suppose if capitalism can do its magic for oil and energy, it should do its magic for other desired goods too.
So no hyperinflation or currency debasement, at least not for a top economy with a reserve currency.
I’ve watching things in the past 30 years. Products that were luxury eventually become widely available commodities. What is valuable is services to put those products to use.
Granite and marble were products of kings when the rock had to be chiseled and polished by hand. Now, thanks to innovation, we install it, replace it and throw it away by the tons.
Another example, everyone can by a large flatscreen tv. But installing it beautifully could easily cost several thousand $.[/quote]
Yes, FIH, goods are getting increasingly cheap and of better quality, like your examples of flat screen TVs and granite, while services get expensive. Goods production can be automated and offshored. But services have a high labor content and are more difficult to automate and offshore (but not impossible).
