Monday, April 25, 2011

Preferences

The life of the rural poor is extremely boring, with repetitive back-breaking tasks interrupted by periods of enforced idleness ....
the authors remark, "things that make life less boring are a priority for the poor". They tell the story of meeting a Moroccan farmer, Oucha Mbarbk. They ask him what would he do if he had a bit more money. Buy some more food, came the reply. What would he do if he had even more money? Buy better, tastier food. "We were starting to feel very bad for him and his family when we noticed a television, a parabolic antenna and a DVD player." Why had he bought all this if he didn't have enough money for food? "He laughed and said 'Oh, but television is more important than food.'"


Before you look down on this guy, remember that the revealed preferences of most Americans show that television is more important to them than their health. Americans would never answer the question so honestly, but just look at where they choose to spend their time.

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