Priceless: The Myth of Fair Value (and How to Take Advantage of It)

In most real transactions, however, the owner of an item believes it to be worth more than the buyer.

the amount we’re willing to pay for things often depends, to a large degree, on how fair the price appears to be.

Price is the most powerful indicator of a good’s scarcity

The ingredients of the solution are intrinsically familiar. We need to rethink our relationship to prices. The price of something is principally determined by what it cost to make, not how much human value is potentially to be derived from it.

The way price discrimination usually works is that in order to get the lower price, the consumer has to do something,

the amount we’re willing to pay for things often depends, to a large degree, on how fair the price appears to be.

We pass up good value that seems unfair, out of spite and in search of revenge.

This is how FAIRNESS impacts our perception of value. Most people above age five, and not actively engaged in politics, understand the concept of fairness. We recognize it instantly when we see it or talk about