Ok, a little repartee for the voyeurs of community. Serve to me.
And please, anyone reading this, jump in! It would be too cool if I was the only one to get to say everything important around here.
Whew! Where to start? You kinda machine gunned a bunch of related questions.
To take them in order of presentation:
eggs vs oil - both are complex issues due to the entities involved. Eggs, being an agricultural product, have a bit of pricing support from the government. Plus, there are the egg producers association(s) which market eggs in general terms, then there are the coops which are groups of producers banded together to market their product under a brand name, then there is the large producers (Pilgrims Pride, Tyson, etc.) which produce/market their own. All in competition with each other, all working cooperatively with each other. Gone are the days (unless you live near a farmers market or small town) when you would buy your eggs from a local farmer (our neighbor gives us their eggs!) and would haggle with several to get the best price. So, consumers are at the mercy of the government price subsidies, coops and oligarchies which pretty much set prices, however, sensitive to market demand and supply on a macro level. Murky enough?
Oil - this is sooooo screwed up. OPEC, a blatant oligarchy, but not illegal outside the US, international oil companies, government taxes, controls, etc. However, if you dare to follow the futures market, investors, speculating on the future supplies of oil, actually drive the price at the pump more than supply/demand. I know, I`ve made money and LOST money playing oil futures. The futures go up on anticipated increased demand, so the price goes up now based on an anticipated future event. Likewise, futures go down expecting lower winter demand, and the price will typically follow. A terrorist attack, Venezuela ups production, the oil minister of Saudi Arabia *arts whatever, the market jumps.
PACE - not knowing the funding and structure behind PACE, its hard to see through the actions. If they were smart, they would lower the price. I forget the name of the principal, but there is a way that when you lower prices, market share picks up and you wind up with higher revenues, and more profits, even if the profit margin goes down.
If I invest a $1 and make a penny, is that good or bad? In a year? 1% return Stinks! What if I can double my return to 2c? Good or bad? What if I cut my return to 1/2c, good or bad? A big part of the equation is missing, time. What if my return is in a week? Now my 1/2c in a week translates into an annual return of 26%, Great! (really larger due to compounding, but who`s gonna get technical?) It has to do with the velocity of money. How fast can you turn your dollars.
"But suppose I sell written articles and fewer and fewer people are coming to me as customers. According to my observation about the PACE system, I should then increase my fee for writing. Right?"
Sure, go ahead
Again, not enough info. Unless your writing has a large following, a dedicated readership, a lifetime customer relationship, you really don`t know what to do. Are your articles "Johnny one-note"? Have you flooded the market with your writing/information so that there are fewer people who need to get your information? Have you flooded the market, met demand? If so, raising prices will accelerate your demise. Your inventory has gone stale.
Time to retool, rethink, change topics, rewrite. Has your market moved onto other areas of interest? Either follow their interest or better yet, get them interested in something new that you offer. Get them waiting for you to provide new content, information, ideas.
Has the perceived value of your writing been degraded? Sometimes revamping the same material, putting out a "new, revised, never before revealed secrets" version and upping the price will get `em running back. Puts new legs on your offerings. They`ve bought from you before, they`ll buy again.
If you have material that is deemed basic or essential to some aspect of everyone`s life, then you will have an element of "have to buy" and upping your price without changing anything else may work. Bibles come to mind. No new content in a few years, but still the #1 best seller of all time. Different packaging appeals to different markets/needs. Big heavy "Family Bibles", small pocket versions, study Bibles, "26 Translations", cross referenced, concordances, Greek interlinear, . . .
The bible reference brings to mind a comment I once got from a coworker: "Believe in the Bible? Shoot, I`ve actually seen one!" : )
Caveat on all this: in life "Know thyself", in business, "KNOW your market"
There`s my shot, full of holes.
Return to you.