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"However, despite the sky-rocketing prices"

Not despite.

People don't understand the Apple brand.



Price elasticity of demand isn't linear. Something that is a Giffen good at a lower price may well have negative marginal demand if the price rises too much.


In this particular example, the iPhone is probably better represented as a Veblen good?


People will really pay anything for status over functionality.


> People don't understand the Apple brand.

How fortunate that we have you to explain it. They're probably just holding it wrong.




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