Talk:Value/Archives/2015

Economic value - variance among individuals

   athen  — Preceding unsigned comment added by 175.100.64.213 (talk) 04:56, 23 September 2015 (UTC) 

What I don't see covered here is the essential point that the value of something varies from individual to individual. When I buy a pound of apples for a dollar, it's worth more than a dollar to me (or I wouldn't exchange the dollar for the apples). At the same time, that same pound of apples is worth less than a dollar to the store, or they wouldn't exchange the pound of apples for my dollar. In fact, to all of us who value that pound of apples more than a dollar, we'll be willing to buy it for a dollar. Some of us may value it at 1.20 (if it was 1.21/pound we wouldn't buy it), others may value it at $5/pound. The store may value it at 50 cents (because, say, it cost them 40 cents and they need 10 cents per pound to cover their overhead). Why do they sell it for a dollar a pound? Because if they charge more, they won't sell all the apples. If they charge less, they will sell out early and not make as much profit as they could.

The same dynamics apply to any product or service that is traded in the free market. The role of variation in how individuals value various products and services is also the same. And it all ties in to supply and demand.

I think this aspect of value in the economy should be explained in the article.

Comments? --Serge 20:22, 22 July 2005 (UTC)

Agreed, mydogategodshat 04:06, 26 July 2005 (UTC)

Any addition on the discrepancy between the buyer and sellers subjective valuations could posibly include a tie in to the article on 'winners curse'.

P.S. does anone else think this page could do with disambiguation, in particular a 'Value (economics)' page added? Doctus 16:46, 28 December 2005 (UTC)

Yes, I think the two should be sepparated, as the meaning is totaly different, even though the name is the same. It's apples and oranges. -- Dullfig 22:36, 2 February 2006 (UTC)