Reply To: Colbertism and Inflation

[THOMAS.BEHNKE]

Now that I’m thinking of it, I have one more quick question:

Suppose I’m a shirt manufacturer. I take a shirt-making workshop to gain more experience. I can now make one shirt in 45 minutes instead of an hour. Thus, I can decrease the price of my shirts.

^^Is it almost 100% safe to say that demand will increase? Or can it stay put, causing me to make only an X amount of shirts in the future and use my surplus productive capacity on making something else, like socks (instead of more shirts)?

Thanks again!