For housing, there's also significant location effects: One doesn't have to live in, say, Manhattan. People trade time for location, and then select the space they want. A whole lot of the space Americans use is completely optional. Go look at cities in Asia, or in Spain: You can have a city with an average density similar to NYC's Upper East side, but not even NYC comes close. That's not about a limitation of supply, but very specific policy choices.
It's similar in other mandatory things: In healthcare, the amount of things that are actually mandatory isn't that large, training to become a doctor is offered to far fewer people that would want the job, drugs can be handed long monopolies... It's not about non-discretionary, but mostly a regulatory problem. Same with American colleges, which waste an order of magnitude more money in what is shaped like an old luxury good. Anyone that has gone to a public university in continental Europe and to a US college can tell you it's a completely different good, and the American approach isn't all that focused on efficient education, as it's still shaped like a finishing school. And again, it's not necessary.
So I'd argue it's almost always regulation written to help certain incumbents, instead of inability of market forces to keep prices low even when it appears that a good is non-discretionary.
There exists greater friction with many of the items in red than the highly automated ones.
My question is how linked is this friction to the lack of automation?
With text books and meat packing there are few players due to consolidation. This means they can avoid investing in automation and keep prices high because they face less resistance from consumers and virtually none from competitors.
In short I’m asking if market forces are to blame for lower automation. And therefore automation is not the root cause of price increases.
If you're unable to eat because you spent all your resources paying for that residence near the grandparents you would certainly move.
The thing about status symbols is that you are buying them to feel better than someone else. So they almost have to be scarce - and therefore expensive. That's the basic idea behind cost disease; scarce things in an economy of abundance become more expensive, not less.
Better for whom? And better in what sense?
Long-term, on average, post-college careers still blow the trades out of the water in earnings.
In my case certainly, if I had bought into the “trades are better!!” online rhetoric I would be making far less money than I am now, and I get to work remote.
That average has a lot of outliers. There are a handful of degrees which almost guarantee you gainful employment. Like, someone getting a law degree or prepping for hospital residency will make waaay more money than maths, liberal arts, or anything on PhD track. The latter do not have anywhere close to the same job prospects.
Furthermore, some degrees are extremely expensive to get. My guess is you got an engineering or CS degree, which in terms of "degrees with job prospects" are still reasonably priced. You can graduate and go into the work force with little debt (or at least, I did, YMMV). Less so for the lawyers and doctors pushing up the college average, who have to go to more expensive schools and even more expensive post-graduate programs. They rack up lots of student debt in the process. Even if it gives you a higher salary, you might not be comfortable with a decade and change of debt slavery.