This CAN be true if labor is not increased. But the cages are made with lots of labor. Labor is a constant that will not bring prices down. If more parts are spit out it takes more labor costs which will not decrease, only increase.
What you are talking about has to do with assuming labor costs are cut because more is produced maybe due to new introduced technology.
Anyway I have been in the situation I wrote about. I don't need to hear about theories you were taught in school. When I got my business degree I was the only one in my business classes that was in business. The professors tried to ram so much BS down our throats I finally had to shut up in fear of my grades suffering.