the whole world burns

Archive for category 'presents'

the deadweight loss of Christmas

 #

Waldfogel's main finding is that, in general, people spend a lot more on presents than they're worth to those who receive them, a phenomenon that he calls "the deadweight loss of Christmas." A deadweight loss is created when you spend eighty dollars to give me a sweater that I would spend only sixty-five dollars to buy myself. Waldfogel estimates that somewhere between ten and eighteen per cent of seasonal spending becomes deadweight loss...

Small things, links and miscellany, sparkling with light. Sam's tumblelog.

Related Tags