Paul Krugman at his own Substack:
In fact, the basic logic of enshittification — in which businesses start out being very good to their customers, then switch to ruthless exploitation — applies to any business characterized by network effects. It may go under different names like “penetration pricing,” but the logic is the same.
Doctorow’s final stage — “Then, they die” — may also be wishful thinking.
So let me talk a bit about the economics of enshittification, as I see it, then follow up by talking about how enshittification can mess with our heads in several ways. The title of this post is, of course, facetious. I don’t have a general theory to offer, just some hopefully clarifying ideas.
More here.
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