20 years ago September I was sitting in a very large lecture theatre, learning about the laws of supply and demand.
The law of demand says Ceterus Paribus, when price increases we consume less of a thing, but if our income increases, we consume more of (almost) everything.
This is reasonably true. I buy more coffee. I buy more clothing, I buy shoes. (Well, I always bough shoes). Indeed, I actually buy groceries. I make more than I did 20 years ago, and I consume more too.
In what passes for encouragement by economics lecturers, they tell you about Giffen Goods. Giffen goods are the reverse. As income increases, you consume less of these goods. University lecturers always use ichiban noodles to illustrate this – once you leave university you don’t eat ichiban anymore. I suppose this is so – although a friend did buy me some when I was accepted to Grad School.
Ceterus Paribus – all other things held equal – these laws hold. They have not changed.
On Friday night I ate my sushi. I wore jeans and Birks and a t shirt. I am, again, single. I still have pets. I made notes on the laws of supply and demand.
There’s comfort in that.