PC component prices

[MayoMayn]

So I'm 18 in this month and due to that I have some "child savings", I wanna buy a proper PC to code and game on.

Since cryptominers have bought up all the PC components (GPU & RAM) continuously each time they got them back in store the prices have approximately risen by 50% over the past year.
So basically I'll need 32-64GB DDR4 RAM, GTX 1060/1080 and a Ryzen 5/7.

I haven't quite decided yet, but my question is:
Should I wait a month or so and see if the prices have fallen and if not just purchase a PC by then, or isn't that going to happen in the near future?

 

[Mikee]

In economics the way prices are determined is due to what is known as the 'long-run' and 'short-run'. Currently, the prices of graphics cards have risen because producers of gpu's are currently in the short-run change of demand. In other words, lets assume that they have two factors of production, labor and capital (capital being factories, machinery, equipment etc.) In the short run, one of these factors of production is fixed, that is in this scenario NVIDIA for example, can hire more labor to produce GPU's but because they can't buy more factories asap and machines asap they're production function yields what is known as a the diminishing marginal return. I.e lets say we have 1 factory and 5 people working, we hire one more, that new hire will produce more product than the last, then we keep hiring. But we will get to the point where we hire lets say 10 people and now the 10th person actually causes person 9 to produce less, because they don't have enough space in the factory to work alongside each other (e.g. they bump heads, get in each others' way etc).

What happens overtime, is the firm (nvidia) will go into the long-run, so they will buy new factories, new machinery etc. in order for them to be able to produce more and supply more, as a result of a greater production.

In other words, prices in the future will naturally go down in either scenario. Either companies will adjust their inputs for the long-run (and all factors of production are variable in the long-run) or people will stop buying gpu's and demand will drop causing prices to fall that way.

The question now lies into how long you want to wait, the long-run could be as long as another year. That is something, we can not decide for you; the decision as to how much patience you have.

 

[Blasteh]

What the fuck is that post above? The prices have risen due to CryptoMiners, because they know people are gonna buy them still. If you did research, you’d understand that Nvidia or any company produces the graphics cards at exponential rates. It’s not due to short staff or workers. Please find me the source where it says all this and that Nvidia is purchasing more factories and all this stuff. Not to mention, Nvidia isn’t the only company that creates GTX 1080’s for example. There are other branches such as MSI, Zotac, ASUS, etc. I have a website that’s affiliated with MSI if you want a graphics card at the price they were a year ago, just DM, their prices haven’t raised yet and I’m ordering from there for my new PC, also got my 960 there when they first came out. So short story short, I doubt the graphics cards will ever go down to the prices they were. They realized they can make bank off them and raised the price to benefit them.

 

[Ecko]

wtf is there an economics lesson in this thread

you don't need more than 32gb of ram. in a month gpu prices will still be crazy. buy parts as u go. use deal sites to find a good price for your gpu.

 

[Mikee]

What the fuck is that post above? The prices have risen due to CryptoMiners, because they know people are gonna buy them still. If you did research, you’d understand that Nvidia or any company produces the graphics cards at exponential rates. It’s not due to short staff or workers. Please find me the source where it says all this and that Nvidia is purchasing more factories and all this stuff. Not to mention, Nvidia isn’t the only company that creates GTX 1080’s for example. There are other branches such as MSI, Zotac, ASUS, etc. I have a website that’s affiliated with MSI if you want a graphics card at the price they were a year ago, just DM, their prices haven’t raised yet and I’m ordering from there for my new PC, also got my 960 there when they first came out. So short story short, I doubt the graphics cards will ever go down to the prices they were. They realized they can make bank off them and raised the price to benefit them.

Alright.

1) Demand has risen for GPU's due to the crypto-craze
2) Demand curve shifts upward causing the new market-clearing price (equilibrium) to be at a higher price level, (price is now increased).
3) To expand output what needs to be done is what I have said before.
You want a source? Sure:
Managerial Economics & Strategy: Second Edition (Perloff et. al), Chapter 5 (Production).

Also your argument "I doubt the graphics cards will ever go down to the prices they were. They realized they can make bank off them and raised the price to benefit them" is weird.

If they wanted these prices they would have naturally suppressed supply causing prices to rise, long before the crypto-craze.

 

[Blasteh]

Alright.

1) Demand has risen for GPU's due to the crypto-craze
2) Demand curve shifts upward causing the new market-clearing price (equilibrium) to be at a higher price level, (price is now increased).
3) To expand output what needs to be done is what I have said before.
You want a source? Sure:
Managerial Economics & Strategy: Second Edition (Perloff et. al), Chapter 5 (Production).

Also your argument "I doubt the graphics cards will ever go down to the prices they were. They realized they can make bank off them and raised the price to benefit them" is weird.

If they wanted these prices they would have naturally suppressed supply causing prices to rise, long before the crypto-craze.

Wow, good job. You just said what I said, without talking about labourers, factories and everything else stupid you mentioned which aren’t a factor. So Nvidia has their own economics lesson now? Shut up about economics, your OP doesn’t explain why the prices went up at all. You’re just bringing more factors into it that are unnecessary. How is the statement weird? It’s pure business? $600-800 for a graphics card when they came out is expensive, but when people started buying them, they realized they could raise the price. No sense putting the price at $1500 and no one buying at the start. Go back to economics class and learn something instead of quoting shit from a book and talking about Graphics Cards.

 

[Ethereal]

With RAM prices as they are, just get a single 8gb module then add in another when prices go back to normal. I love my Ryzen 1700, but the 1600 is honestly one of the best priced workstation/gaming CPUs right now, crazy value for money. Also, RAM and GPU prices will not be going down anytime soon. ¯\_(ツ)_/¯

gogogog

 

[Blasteh]

With RAM prices as they are, just get a single 8gb module then add in another when prices go back to normal. I love my Ryzen 1700, but the 1600 is honestly one of the best priced workstation/gaming CPUs right now, crazy value for money. Also, RAM and GPU prices will not be going down anytime soon. ¯\_(ツ)_/¯

gogogog

Yeah, I just bought 16GB DDR4 Ram for $292 (this was like 2 weeks ago), since then, the exact same item I purchased raised $18.

 

[Ethereal]

Yeah, I just bought 16GB DDR4 Ram for $292 (this was like 2 weeks ago), since then, the exact same item I purchased raised $18.

I got my 16gb for around $100 early 2017.

 

[Blasteh]

I got my 16gb for around $100 early 2017.

Goes to show how fast and frequently they raise prices, but then there is us idiots, that complain but at the end of the day - will still purchase.

 

[MayoMayn]

Thanks for all your inputs.
I'll just purchase the components to build a PC once I get my money, really cba waiting.

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