What Money Can't Buy- Week 3-John Treseler

From Reading
1. I thought it was very fascinating that there was a theory on economic logic behind gift giving. This is something that makes sense now for retailers, economists and even social scientists to look at. The article discussed that (p100) in a survey recipients of gifts were 20% less valuable than the item they would have bought if they had the cash themselves. But it goes on to say that gifts are a signal of the way you feel about someone. Economically and socially the gift giving theory is one that is more interesting than meets the eye, especially for those of us who are use to it.
2. The next theory I really saw as a shock was the crowding out theory, the theory that people do some things based on values rather than for money. There were two examples that stood out. The first was in Switzerland and a survey went out to a village that asked if they would store nuclear waste in their town if it was considered best place in country for it. A small majority (51%) said yes. The following two questions asked if they would do it if they were paid each times there were fewer yes responses (25%). The next one that stood out were the lawyers when they were asked if they would give senior citizens a discounted service, the response was no. But when asked if they would give time for free to seniors who were in need the answer was a strong yes.

My Perspective
1. I think that the explanation of the gift giving economic theory was very interesting. I believe that there is no rationale with the gift giving in intimate settings (ie family, loved one). I believe there is another part of the theory that could be added though. I think with loved ones, we give so that other loved ones see how much we have to offer and how much we have to give to them and it makes us feel good. I believe that the giving part of gift giving is just as important as the receiving part. I do agree with his theory that with those who we are not close, a co-workers son’s bar mitzvah, we will be prone to give cash and not feel as uncomfortable.
2. The crowding out theory proves that there are still values in the system and everything is not just economics. The Swiss people felt that they were being bribed as opposed to them being stand up citizens and doing something for their country. As for the lawyers they mostly likely fit into my theory from the first response, which is that they wanted to do something that made them feel good. Giving up the thirty dollars an hour and doing something for free may have made them feel better than $30/ hour.

More blog posts in this category Common

• The Wound & the Blessing/The Economy of Communion Project Post
• The Crest- Jewel of Wisdom & Work as a Spiritual Practice Post
• "What Money Can't Buy" Blog Post
• Blog Post Ni: FTRN Booklet & Arithmetic of Passion
• Work as a Spiritual Practice (The Transformation of Work)