The \$325,000 washer-dryer
posted by Luca at 5:09 PM
Friday, April 21, 2006
Marge, I agree with you - in theory. In theory, communism works. In theory. Homer Simpson
RSS
Recent Posts
- Is that like NP-completeness?
- Welcome, Yonatan
- Are you prepared?
- The vision thing
- The dreamy-eyed alumni
- What is it with the R. Cohens and journalism?
- Sometimes evil is dumber
- The boiling of babies shall commence tomorrow
- Feminism for dummies
- Beware of the tomato-wielding terrorists
Some Older Posts
- Random KSAT [1] [2] [3]
- The trouble with "nerd pride"
- ICM 2006 [1] [2] [3] [4] [5} [6]
- O(log n) approximation
- Average-case complexity
- Szemeredi's Theorem: [1] [2] [3] [4] [5]
- Gowers Uniformity
- We should see other people
- On rejection
- The vision thing
- The dreamy-eyed alumni
- The Tao of Berkeley
- The things I notice
- Home, queer home
- Where do you want to go?
- Don't come to the podium!
RSS
2 Comments:
4/21/2006 11:53:00 PM
From the article:
Two years ago, Ms. Lippman handled the sale of a three-bedroom prewar apartment on the Upper East Side that garnered three offers at its listing price, $1.6 million. But when told that the existing washer-dryer had to be removed upon the sale of apartment, two sets of buyers backed out, while the third dropped the bid to $1.275 million.
It's a stretch to call that a $325k washer-dryer. According to the Kahneman-Tversky loss aversion theory, dropping your bid from $1.6m to $1.275m on being told the washer-dryer has to be removed is not the same as being willing to pay $325k to have it installed! :)
4/21/2006 11:58:00 PM
(Also, the premium is not so much for the washer-dryer as for the right to have one.)
Post a Comment
<< Home