Why so expensive, America?

[MikeH]

It's probably 'cause the US cable companies have to pay an insane amount of money for employee healthcare.

[giblets]

Whereas I'm trying to figure out how population density has a bearing on the cost of haircuts and loaves of bread...

Probably nothing. Maybe Americans prefer higher quality haircuts and bread. Who knows?

[Sava]

It's probably 'cause the US cable companies have to pay an insane amount of money for employee healthcare.

There is probably truth to this.

America loves doing things in the least efficient way possible just so that people don't get rubbed the wrong way, ideologically.

[Felch]

Doesn't seem like density is the issue. They are comparing cities... not city versus suburban or rural.

And New York, one of the densest cities in the world (in more ways than one) has some of the highest costs.

City customers subsidize the rural users. Another thing for you to be proud of. That means that overall population density of a country has a big impact on price, more so than the local population density of a city. According to the article, 96.3% of American households have access to wired broadband. This all dates back to the digital divide debate from the later Clinton years. We pay more than other countries because we are taking responsibility for our less wealthy brethren out in the sticks.

[The Mad Monk]

from the ArsTechnica... the title of the articule:



I don't know you can think rural area costs have anything to do with this discussion.

They need to subsidize rural areas, which adds to the cost. There's also land value (spaces rented or bought for offices and equipment, and the increase in workers' pay so they can afford to live there), the cramped infrstructure which requires more care in installation and maintenance, and the taxes or subsidies or lack thereof offered by different cities to the cable networks.

[Sava]

They need to subsidize rural areas

Provide proof.

And they don't "need" to do anything.

[Sava]

City customers subsidize the rural users.

You say this, but provide no evidence.

[Felch]

I don't know about hair cuts but the price of bread is definitely odd. Overall the USA is far cheaper than the UK. And we wind up with almost $400 more each month after taxes. More than enough to pay for bread and broadband.

[The Mad Monk]

You say this, but provide no evidence.

Provide proof.

And they don't "need" to do anything.

Two seconds.

[Sava]

Two seconds.

Yes. But the government is subsidizing the cable companies... the cable companies aren't subsidizing anything. Their costs are lower because of subsidization. That goes against your argument.

[The Mad Monk]

You think I'm done?

[kentonio]

I don't know about hair cuts but the price of bread is definitely odd. Overall the USA is far cheaper than the UK. And we wind up with almost $400 more each month after taxes. More than enough to pay for bread and broadband.

Is that $400 before or after you factor in healthcare?

[Sava]

You think I'm done?

So now subsidies are good? Make up your mind!

And that article says nothing about the cost being passed on to customers in urban areas.

[MOBIUS]

Or their weird property bills where you have to pay towards the pavement outside your house etc...

[Felch]

You say this, but provide no evidence.

Do I always have to do your ****ing research? Next time, educate your own damn self, or shut up and let the grown ups talk.

http://www.fas.org/sgp/crs/misc/RL30719.pdf

http://content.usatoday.com/communities/technologylive/post/2012/07/fcc-to-spend-115-million-on-rural-broadband-subsidies/1#.Um55zfkqh8E

http://www.dailyyonder.com/topics/broadband-and-tech?page=16