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Cost of iPhone X in 1957

bradford-delong.com

31–40 of 173 posts

Re: Cost of iPhone X in 1957

#31
Well, okay. But the monopoly would have also kept costs down. Yes - all iPhones would have looked identical, but everyone would have had one!

Another plus - the software stack would have been far smaller. You wouldn't need a 32 Gig phone just to install some apps. All processing would have been done in the cloud, on the mainframe. The apps would all have been dumb and only screen viewers for the mainframe.

:)

Re: Cost of iPhone X in 1957

#32
post #12

this article is just made to justify the phone's price.

Economists like deLong are obsessed with the idea of ever increasing growth to justify the assault on the lifestyle of working class people. A 1957 US middle class family with a sole bread winner (union job) makes for a very uncomfortable comparison with 2017. Thus the need to focus attention on products and technologies that weren't very advanced 60 years ago.

Frankly though modern houses, automobiles, indoor plumbing, central heat, washing machines, vaccines, 50's era medicine, were a vastly larger jump in living standards than smart phones.

Re: Cost of iPhone X in 1957

#35

Honestly, who cares. A ton of modern inventions would've cost way more money in 1956. I'm not gonna go to the store and say, wow this microwave would've cost millions in the 50s, that's a super reasonable price. Compare 2017 phone prices to other 2017 phones.

> Honestly, who cares.

It is a little but amusing and gives some perspective.

Re: Cost of iPhone X in 1957

#36
post #17

Comparisons like that always assume the that price is constant with increased demand even when world GDP is spent on something. What would likely happen is first the price would go up and later down as the world manufacturing would shift to vacuum tubes production.

Yes if a government started buying trillions of vacuum tubes, companies would quickly get much more efficient at producing then and there would be a huge investment into researching alternatives. But that brings up the question, what tech could we be subsidizing today so we can get it faster?

It's vacuum tubes, right?

Re: Cost of iPhone X in 1957

#37
post #5

Trying to answer the following might be fun as well: How much is a 1000 USD from today in that era in terms of purchasing power? What could you have bought with the equivalent amount of money, and how many people could have afforded the iPhone equivalent then?

http://www.thepeoplehistory.com/50selectrical.html 1000USD today would be around 100USD in the 50s.

Yep. I just checked with http://www.usinflationcalculator.com/. That site has a calculator that comes up with almost the exact same conclusion as you.

Or, you could assume an average rate of inflation and calculate this using the rule of 72. I like to keep that formula in my pocket for things like this.

Re: Cost of iPhone X in 1957

#40
post #17

Comparisons like that always assume the that price is constant with increased demand even when world GDP is spent on something. What would likely happen is first the price would go up and later down as the world manufacturing would shift to vacuum tubes production.

Yes if a government started buying trillions of vacuum tubes, companies would quickly get much more efficient at producing then and there would be a huge investment into researching alternatives. But that brings up the question, what tech could we be subsidizing today so we can get it faster?

> But that brings up the question, what tech could we be subsidizing today so we can get it faster?

As an American, I’d say internet deployment and infrastructure upgrades, but multiple government entities have tried that and the ISPs end up doing nothing.

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