Friday, May 25, 2007

Value of Software..

Software itself violates the free market. For an item to have value, it must have utility and scarcity. As the marginal cost of production of a unit of software is damn near 0 (it is fractions of a penny of electricity), software does not have scarcity. Thus it has no value. The rules of economics don't apply to it, or more correctly, an entirely new model needs to be created, but does not currently exist.

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