Acquired
Hermès
Unnamed Speaker
Yes. So normally, price is where supply meets demand. So as the price of a good increases, demand for it would go down. A Veblen good is the opposite. As price increases, people actually want it more. So price ends up being a signal that the item is desirable, and thus it stimulates demand. Now, interestingly, David, this is exactly what you were talking about before.
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