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rationalism  

2006-10-20 12:19:07|  分类: thoughts n feeli |  标签: |举报 |字号 订阅

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Carrying on with what i wrote in the previous blog...perhaps one of the reason to why Love is such a precious commodity(for each individual seller the quality and quantity of their product/service falls after a certain level of consumption) is that each individual market rarely clears and when it does it often take a long time to do so. More significantly the market condition itself is also constantly changing which makes it even harder to strike an equilibrium at any given point in time. However there are rare cases where intentions that of a seller and a consumer meet at an instant or at least over a short period of time. This many would call 'love at first sight'. Surely this seems to be a two win situation and there would be no need for Game Theory to come into play. Nevertheless, it is observed that such optimum condition does not last for long and no one is really to blame for it. The fact that the two parties took such a short time spand to adjust shows their ability to adapt and their decisive nature to persue their desires. If this is true then they are likely to be more responsive to changing market forces as well as other external factors. Once their initial needs are satisfied because they have payed such little or no price for it and changing needs makes it more costly to maintain the relationship, then rational beingns would therefore sensibly opt out of their current market and search for new passion. Here opportunity cost and marginal utility is a useful tool since in such relationships as time passes marginal utility declines, maintainance becomes more expensive due to rising opportunity cost in terms of time and effort. The assumption made here is that peoples' emotions change and their needs follow which many of you i believe would argue otherwise. However, a supporting arguement would be that again evidence shows there are infinite number of cases where the seller and the consumer swop roles due to changing intentions under certain circumstances. The once loved become the one to love and vice versa. This is fine provided that it was an equal swop and that the balance is maitained otherwise harmony will be destroyed thus leading to an end of a relationship.
 
So far i have only analysed love on a micro level which already shows numerous signs of market failure in a monoplistic market condition. e.g. lack of information(assymetric information in particular, consumers have very limmited knowlege of what they are really looking for or get in return for their costs and much of their knowlege is illusory not the real thing) , higher prices, inefficiency(maket failling to clear at an optimal level)...Looking at it on a macro level however, love can be a very competitve market where there are infinite numbers of buyers and sellers entering and leaving the market everyday. Everyone has the right to love and everyone wants to love and to be loved, it is human nature as well as 'selfishness'-rational behaviour. In theory there are no barriers to entry. High levels of competition also suggests equity and fairness in a sense that no one is able to enjoy much surplus (ie abnornal profit in a business context) in their utility gained from either selling or consuming or at least not for long. this is why it is so important to maitain a harmonious balance between two people in any relationship. Even if they are not together because of love then they should still have balanced level of gain that they obtain from each other. that can be purely monetary, pragmatism, security needs etc.
 
i think i shall stop today before i go mad but before i affend anyone i am merely presenting a discussion here. i am not trying to flaw any religion in saying that love is not divine and priceless. i am only trying to use economics to look at the matter that have troubled so many from a different perspective in attempt to lessen or at least numb the pain. In reality the price we pay for it are things that could be never bought or sold like bravery, dignity, time, passion etc. those are the qualities once used may never return. Why do people say that perhaps the most poisonous of all poison is human heart i guess it is because through the learning curve of life which peels layer by layer our good qualities and leave us with the most deadly ones. at the end we all want to seek to rescue and learn to protect ourselves forget about innocence and put on an act. All my assumptions made here are base on one fundamental fact that all humans are selfish they only do things in which they can make a utility gain that can be monetary as well as in tought i.e. self fulfillment e.g. charity work. Selfishness is not a sin neither is love itself but if lust is a sin then what about desire??
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