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> things only have value because they are artificially scarce Of course scarcity can (rightly) influence value, on the other hand, think of tulip bulbs and the

• rcpt 5y ago
  Or housing
  • logifail 5y ago
    > Or housing You can live in an over-priced house that you've bought. I'm struggling to think of uses for an over-priced tulip bulb, other than one Spring's worth of flowering (maybe)...
• amelius 5y ago
  The word "value" is wrong. E.g. oxygen has value, even if not scarce. I wish economists refrained from using the word "value" for concepts that are not that.
  • logifail 5y ago
    > oxygen has value, even if not scarce Q: How much did you pay for the oxygen you personally used in the last 24h?
    • X6S1x6Okd1st 5y ago
      > Economic value is not the same as market price, nor is economic value the same thing as market value. If a consumer is willing to buy a good, it implies that the customer places a higher value on the good than the market price. The difference between the value to the consumer and the market price is called "consumer surplus". It is easy to see situations where the actual value is considerably larger than the market price: purchase of drinking water is one example. https://en.wikipedia.org/wiki/Value_(economics) https://en.wikipedia.org/wiki/Value_(economics)
      • logifail 5y ago
        > It is easy to see situations where the actual value is considerably larger than the market price Unless you are poorly and/or in hospital, there is no price for (breathing) oxygen? If there's zero price how would one propose to determine the value?
        • X6S1x6Okd1st 5y ago
          If I am deprived of oxygen I'd spend all of my available resources on getting it. Same for water, food etc.