Viewing profile — jamesoswald

The implication is actually that cat videos are more enjoyable per instant than opera. If that were not the case, people would always watch opera. But if there were a high fixed co…

Typically, the independent variable is on the x axis and the dependent is on the y. Most modern economists consider price independent, hence the axes are reversed. The convention w…

I wrote the post in October of 2011, but people have reblogged it recently in response to Alchian's death.

(Original Author): Relative. In the wine example, if you add a fixed cost, total absolute consumption will decline, but relative consumption of the more expensive one will increase…