A conversation with my 9 year old daughter:
(Me) "Oh no, there is a scratch on the car."
(C1) "It is just a little scratch. What is the big deal?"
(Me) "Well, scratches like that mean that when we come to sell the car it will be worth less."
(C1) "Why should it be worth less, it is just a little scratch?"
(Me) "True but people prefer cars that are scratch free so it can reduce value by more than you think."
(C1) "In that case, couldn't it be that no one actually cares about the scratch itself. They just think the next buyer will be."
(Me) "It is possible."
(C1) "And that means that they all decide the car is worth less even though no one really cares."
(Me) "I guess it is conceivable."
(C1) "People need to get a grip."
Word up, sistah! I've never given half a rat's butt about scratches on my car. (Of course we now live in New York City and don't own a car.)
ReplyDeleteShe needs to work for Goldman Sachs or the Treasure Department ASAP. Your daughter is the only one who really understands how stock market pricing works!!!!! :-)
ReplyDeleteShe sold me. I'll buy the car. ;)
ReplyDelete