At 03:37 PM 7/26/01 +0200 Baardwijk, J. van DTO/SLBD/BGM/SVM/SGM wrote:
>Uh-oh! Your wife just got kidnapped, Alberto! How much are you willing to
>pay to get her back? (Assuming you truly love her, of course.)
>
>IOW: what's the dollar equivalent of your love for your wife?
This is a bad example. You are bundling the value Alberto places on his
wife's safety, as well as the companionship, housework, income,
child-rearing, etc. that Alberto receives from his wife, along with his
wife's love. Indeed, you also aren't considering if by paying the ransom
Alberto might lose his wife's love, because his wife could never love
someone who would negotiate with terrorists. Additionally, you are also
counting the value Alberto places on keeping a stable marriage for his
children, and not going through a divorce. (Alberto may be willing to
lose his wife's love, but still want to stay in the marriage for other
reasons.)
A better example might be the following case:
I have plans to spend time with my girlfriend on a Saturday afternoon.
I have perfect knowledge that if I back out of this obligation, my
girlfriend will cease to love me, but still be my friend.
How much would I have to be offered to back out of spending time with my
girlfriend
JDG - Who took the football game...... ;-)
__________________________________________________________
John D. Giorgis - [EMAIL PROTECTED] - ICQ #3527685
We are products of the same history, reaching from Jerusalem and
Athens to Warsaw and Washington. We share more than an alliance.
We share a civilization. - George W. Bush, Warsaw, 06/15/01
