The Wall Street Journal has an article that discusses how economists are “cheapskates”. I probably wouldn’t use that term, I would say that economists understand the opportunity cost of different choices and so can pick more objectively between alternatives.
Anyway, what struck me was this passage:
Economist Robert Gordon, of Northwestern University, says he drives out of his way to go to a grocery store where prices are cheaper than at the nearby Whole Foods, even though it takes him an extra half hour to save no more than $5.
So an economics professor only values his time at $10 an hour? Seriously, what the hell. This seems like a terrible choice to me. The only ways I can rationalise this are:
- He is exaggerating because he gets some pleasure from that,
- He gets some consumption value from driving out to the other supermarket and saving a bit of money.