Theoretical Model

I have come up with the main theories that I would like to use to support my hypothesis. Included are:

  • cost-of-production theory of value
    • This theory states that higher costs of inputs in production lead to higher costs in value of the good produced.
  • theory of substitute goods
  • theory of complimentary goods
  • theory of switching costs
    • Consumers often must incur a cost to switch suppliers of a good or product.

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