> A $35 JanSport that dies in eighteen months: $23 per year. Add the shipping cost when you try the warranty. Add the replacement cost when the claim gets denied. Add your time.
> A $200 bag that lasts ten years: $20 per year. Already cheaper. At fifteen years, which the well-built ones consistently do, you're at $13 per year.
This ignores the money you would earn by not giving money upfront. A 23$ expense every year is cheaper than 200$ upfront over 10 years, because you will earn 15 euros over that 170 Euro first year if you put it in S&P500. And then 12 nect year and and 10 in third year and you are already ahead of the 200 Eurro bag. And you just dont spend time in warranty. Just throw it away dn buy next one for 35 Euros.
Or put another way, we need to compare the net present value.
The more expensive choice now is an investment into not buying future bags, and the future returns on that investment should be discounted.
https://en.wikipedia.org/wiki/Net_present_value
https://en.wikipedia.org/wiki/Discounting