Microeconomics – Sound Economics

Accounting for Taste: Ice Cream Preferences

Posted on October 4, 2017 by Max Coleman — 2 Comments ↓

As a social scientist, I would just like to come right out and acknowledge my bias. Between chocolate, vanilla, and strawberry ice cream, chocolate is my favorite, followed by vanilla, then strawberry.This article is intended to explain a fundamental concept in microeconomics, consumer preferences, using a sweet example. To model consumer behavior, economists look at how consumers make comparisons between goods. Briefly, some notes on notation. If I said, “I like chocolate better than vanilla ice cream,” it would be written as Chocolate ≻ Vanilla. (Note, ≻ is not the same as >, which is used for ordering preferences) If I Continue reading Accounting for Taste: Ice Cream Preferences→

“I Present to You the Rational Consumer”

Posted on April 18, 2016 by Geremia Lizier-Zmudzinski — 2 Comments ↓

In the Office’s sixth episode of season 7, Dunder Mifflin’s “accountant extraordinaire” Oscar Martinez dresses up as the “rational consumer” for the office’s Halloween costume contest. His character is inspired by the contest’s prize, a booklet worth over $40,000 in coupons to many of Northeastern Pennsylvania’s finest establishments. Though the rest of the employees come to work dressed in creative and sometimes head turning (Gabe as Lady Gaga) costumes they have obviously put a lot of thought into, Oscar comes dressed in jeans, a collared shirt and a cardigan as a sign that the booklet should be of no interest Continue reading “I Present to You the Rational Consumer”→