Value can be extrinsic(money) or intrinsic(love of your family, interest in a hobby). But in a market economy only extrinsic values are given any weight. This leads to commodification of intrinsic values.
Published on May 19, 2024
In economics, an externality is a cost to an uninvolved party because of the actions of another party. Its generally a non-financial price - but it can be positive or negative.
Published on Jan 24, 2024
This model was introduced by Adam Smith - Grandfather of Economics
Published on Jan 01, 2023
Commons refers to a shared resource that can be used by all. If everyone uses it appropriately, it can last. But few people tend to over-exploit it - making it run out. This is called the Tragedy of the Commons.
Published on Nov 15, 2021
Ovarian lottery is a thought experiment created by Warren Buffet influenced by a book called "A theory of justice". The idea behind the experiment is that a truly just society can only be created if everyone agrees to it before knowing where they'll land in the society.
Published on Nov 02, 2021
You do this when you expect the value of a stock to go down. You borrow a stock from a broker and sell it immediately at the current price. When the stock price falls, you buy the stock back at the lower price and return the shares you borrowed to the brocker - keeping the difference.
Published on Jan 29, 2021
Wrote the book 'Wealth of Nations'(1776) - that was the beginning of economics as a separate discipline.
Published on Nov 28, 2020