How much
would you pay for some heating? Or, put it otherwise, what’s the value of
heating? Has it an intrinsic value? Or its value depends on the subjective
preference of the consumer?
Austrians
(and Scholastics) know that value is subjective (sorry Marx and neo-Marxians
but there is not a “just” salary or “fair” price).
Today when
reading the news I have read the best vindication of Austrian subjective value
theory. Look at this new:
Well, I
translate: “Narco Pablo Escobar burned two million dollars so that his daughter
did not feel cold”
So faced
with cold and lots of money, Mr. Escobar did not have any doubts as to the
marginal utility of burning two million dollars in order not to feel cold.
So what is
the value of a little bit heating? It depends on the marginal preference. In
the city with plenty of supplier of gas, very low. In the forest when freezing
very high.
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