I actually have a degree in economics. I don't use it, and I am not sure how I ever convinced anyone to give it to me, but there you have it. Anyway, I remember practically nothing from my studies, but I DO know a thing or two about supply and demand. Let's take the case of my house. Supply is low, there is just one like it. Demand, apparently, was very high and lots of people wanted to buy it from me. Which means 1) I get to set the price and as long as someone will pay it that price is not too high, and 2) buyers, that means I have what you want. These two facts did not prevent either of the following:
1) A guy I worked with asked if I had sold my house. I informed him that I had. He was surprised, and asked if I got my asking price. I informed that I had gotten higher than asking. He, a professional economist who ostensibly teaches impressionable young minds about economics says, "I can't believe you charged such an ungodly amount of money for your house." Um...interesting. I mean, I guess it is fair to say that you are
surprised that someone was willing to pay that, but he said it in such a tone that implied it was somehow my fault that someone paid me a lot for my house. So I mentioned this to my boss thinking for sure he would back me up on the whole "the house is worth whatever someone will pay for it" thing, and he said "Yeah, I think it's pretty ridiculous too. But I guess if you want to take people's money that's capitalism." WHAT?! I finally actually follow economic law and now am being criticized for it? Was I supposed to sell my house for a cheap price to be nice? Or so people would feel like they got a deal? Um, no. I am supposed to take advantage of the fact that I have a good product, and charge lots of money for it. Duh. Just ask Apple.
2) Someone called me yesterday to ask about the house. She says she is very interested, and will I please call her back. Then her husband calls. He will be easier to reach. They are very interested. Please call back. Then the wife calls AGAIN (all of this during work hours, so it should be no great shock I am not at home) and says (to recap) that she called and her husband called and they are very interested. Please call back. Hold on. Just to be clear - you're interested in the house? And you want me to call back? OKAY! So, I did. And I told them the bad news which is that I already sold the house. I said of course these things can fall through and we should know in 3-4 weeks, and I would be happy to put her name on the list of people to call if it does. (Seriously. I have a running list of people to call if the sale falls through. Despite my avariciously high price and shameless capitalism.) I explain we are not currently giving showings because, well, the place is sold. Then she starts being mean! She asks me "How am I supposed to know if I am interested if you won't show it?" And I thought 'I don't really care if you're interested.' I ALREADY SOLD IT. And I turned down someone who offered me more than I was asking. So, not only do I have what you want, it's not even available to you. And yet, somehow, I am in the wrong? She asks if it would be possible to just offer more, and I think the answer to that is no. Legally, now that I have told these other people I will sell it to them for the price offered, I am not allowed to change my mind. A drag, perhaps, but there you have it. So, she acts kind of disgusted and tells me I can call her if something happens. Wow. That's so nice of you. Thanks for playing.