On: Peter Norvig's Economic Simulation (2018)

[evanpw]

You'll only pay $X for a good if it's worth at least $X to you, so in the absence of perfect price discrimination, that trade is also positive-sum: https://en.wikipedia.org/wiki/Economic_surplus#Consumer_surp...

[g_langenderfer → evanpw]

In other words, if a banana costs $1 and I buy it, its value to me is at least $1

[sjg007 → evanpw]

That’s an illusion if you can’t use it directly to make more money. In the abstract sure it’s positive value but for this simulation or any simulation it doesn’t matter.