economist

Recession Journal VI: It's OVER!!!!!!!!!!!! Any Questions?

Posted October 31, 2009 - 08:00 by Jabulani Leffall

Consumer Affairs

The recession is technically over, officially over, numerically over. How do you feel now and what are you gonna do about it?

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Deadweight loss of Christmas: Economist explains why gifts are inefficient

Posted 2 years ago by Will Chen

Filed Under: Shopping

Christmas tree at Rockefeller centerDid you unwrap any crappy presents this morning? Are you thinking that all the shopping and running around was a big waste of time?

You might be right, says economist Joel Waldfogel.

Waldfogel estimates that people generally spend 16% more on presents than they’re worth to those who receive them. He calls this phenomenon “the deadweight loss of Christmas.”

For example, a deadweight loss is created when you spend $20 to give me a DVD that I would spend only $15 to buy for myself. Economist Tim Harford explains:

Continue reading "Deadweight loss of Christmas: Economist explains why gifts are inefficient"

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