When does the law diminishing returns kick in?


As I go through these threads reading responses I will look at the systems from answer writers. Wow, some of you guys don't mess around. As a music lover and audio guy myself (since the late 60s) I can't help but be envious.
Although my system is modest, especially compared to some, I get a lot of enjoyment listening to music on it. It took a while and a lot of trial and error to get what seems right to me. But when looking at the super systems here it makes me wonder what I'm missing. With the exception of deeper bass, am I missing all that much? How much would I have to spend to hear real (worthwhile) improvement?
timrhu
The law of diminishing returns kicks in Quick with products like the NEW BOSE 901 series 6 version 2's and the Yamaha a-s2000 integrated amp.....the BEST bargains on the market right now and future CLASSICS that we will talk about for a long...long time !...
I'm with Fatparrot, in believing in a doubling of cost to get a definite audible improvement. That rapidly becomes literally ruinous. So in general, I believe if you are not doubling, you are pretty much moving sideways.
BUT, that does'nt mean that value for money is'nt very variable. There are some real bargains to be had out there, often from small companies, without massive marketing budgets, retailers distributors. I am sure the way to go for me, is direct selling from the manufacturer. Many cable manufacturers go that way and some selling boxes, speakers too. That's were I look for value, especially if they do sale or return.
Since a chain is no stronger than it's weakest link, and the audio chain is the same; this means you have to plan on replacing all the components in the chain to get your money's worth. That law kicks in when you can no longer buy the components.
in economic terms, production is optimal when mr=mc, i.e., marginal revenie - marginal cost.

in audio it means if you spend an additional dollar to attain less than a dollar's worth of sonic improvement, diminishing returns has been achieved.

this is subjective of course. but i think, i have defined, literally what diminishing returns means.

it is a term used in economics quite frequently as most corporations try to maximize profit.

if you produce too much the additional cost of production will exceed the additional revenue.

in audio , if you spend too much, the additional benefit in sound is not cost justified--subjectively speaking of course.

its almost a corrolary of the famous equation:a sale occurs when the value in use = the value in exchange.

the value in use , could translate into the value placed upon the sound of a a component.