Day: May 13, 2011

The importance of rules cannot be overestimated. Human societies differ not so much in the physical characteristics of people or their mental capabilities as they do in the rule-sets that define and distinguish them. If we have to understand why some societies prosper and others don’t, we could do worse than to examine their rules. Culture is another term for the collection of rules, and it more than any other factor determines how successful a society is.
Continue reading “Democracy, Elections and Voting — Part 2”

The pricing of a book is an interesting economics problem. For economic efficiency, the price should be equal to the marginal cost. But as often happens, marginal costs are sometimes far below average costs (due to fixed costs.) So P=MC leaves a deficit in the recovery of full costs. Therefore P>MC has to be it. For ebooks, the MC=~0. But if you shift some of the deficit by pricing ebooks > 0, you reduce the deficit. I have been thinking about book pricing because we have to attach a price to my book.
Continue reading “Pricing a Book”