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Can you or anyone expand on "utility of money isn't logarithmic"? It seems a whole bunch of economic theory is based on the wish ("because it has nice propertie
by tunesmith 5y ago
Can you or anyone expand on "utility of money isn't logarithmic"? It seems a whole bunch of economic theory is based on the wish ("because it has nice properties") that losing 10% of your money generally hurts the same amount no matter how much money you have. Even accounting for a non-elastic living wage on the bottom. I know there's a lot of political opinion here, but has there ever been an effort to empirically determine what the utility of money actually is?