This article from the LA Times was sent in by a reader (thanks!) and I found it pretty interesting, not only as an economist, but as a new car owner who recently had to have my tires replaced. The article…
I read an interesting post the other day about why the Olympic Games always end up costing more than originally proposed. Essentially, organizers submit an appealing budget that legislators will accept, especially when compared to the perceived benefits of hosting…
A short topic this week, but an important one nonetheless. Money Illusion refers to the tendency of people to think of currency in nominal terms (its face value), rather than real terms (its purchasing power). Consider the following question presented…
Last month, Panera opened a nonprofit restaurant in St. Louis. Instead of being charged normally for the food, customers are told to pay what they want. Essentially, the cashiers tell customers their orders’ suggested price based on the menu, and…
I’m a sucker for free stuff, as much as I hate to admit it. Being on a college campus, I tend to go back to my dorm with a lot of free stuff I don’t really need or even like.…
