Monday, September 22, 2008

Supply and Demand

For some reason, I'm starting to really like economics. I don't whether its because I just started the chapter and things are still fairly easy to understand or I really like the whole concept of how the market works but its starting to grow inside me heart..

There's a few graduates from SUA that studied economics in NYU and are now working in World Bank. I think that's a bit too far to think but.. Hmm.. I don't know...

I remember one thing that I studied was the law of demand. That when the demand rises, the price will rise too. The book gave the example that in 2006, when the Microsoft latest xbox 360 was released, it was sold out before people could get their hands on it. From the sale of $399, people couldn't buy it at all particularly during the holiday season. And because of that, do you know how much it was sold on ebay? A freaking $800 dollars!!! That is double the selling price!

Although I kinda feel economics is more towards logic and rational thinking, because people's minds are predictable, but its still interesting seeing how different issues in the world can be somehow explained by economics. And sometimes, you'll find out people's minds are not so predictable after all.

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