Sunday, August 23, 2015

Everything I need, and nothing that I don't


I was reading through my usual morning fare when I ran into this sentence at Marginal Revolution:

The food scene today offers a seemingly never-ending supply of scarce experiences, ingredients, and dishes.

The simultaneously use the adjectives "never-ending supply" and "scarce" to describe the same nouns struck me as odd.  How can that be?

Implicit within the sentence is the understanding that "the market"  segmented into a near-infinite number of infinitesimally small splinters.  It is a case of  (∞*0).

That might help explain the mysterious forces that are keeping the economy inflated.  Valuation-per-unit is based on the illusion of scarcity.  Total valuation is based on per-unit-price times total-number-units.

The challenge of marketing is to convince the sucker consumer that there is no substitutability between offerings.  That is, an "Apple" guy could never use an Android, nor is it possible to eat Chinese when your heart is set on Thai.

As individuals, we can muddle through this if we keep a few things in mind. 
  • The concept of "enough", as in, I have enough calories to make it through the day or, I have enough firearms or a big enough of a home.  Listen to the song on the video (you knew I included it for a reason, right?)
  • Skill rules.  It is better to be a proficient cook than to have a spice cabinet with 230 small bottles in it.  It is better to be highly proficient with one shotgun (even a single shot!) than to have 70 different firearms, none of which you can operate in the dark.
  • It is highly likely that we will come through this in fine shape if we keep our wits about us, treat each other as gently as possible and don't do anything stupid.
  • We are all going to die.  Someday.  Make your peace with your maker.
The food scene today offers a seemingly never-ending supply of scarce experiences, ingredients, and dishes. - See more at: http://marginalrevolution.com/#sthash.WAz9lkxX.dpuf
The food scene today offers a seemingly never-ending supply of scarce experiences, ingredients, and dishes. - See more at: http://marginalrevolution.com/#sthash.WAz9lkxX.dpuf

2 comments:

  1. Well said, and no, we don't get out alive...

    ReplyDelete
  2. Well said, and no, we don't get out alive...

    ReplyDelete