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  • Are Social Savings Techniques Ethical?

    In Shopping, Deals, Consumerism, Ethics, / 24 March 2012 / 0 comments

    Are Social Savings Techniques Ethical?Personal finance weblog The Simple Dollar has a post on social savings techniques. The big example he gave was shopping carefully for a new pair of shoes for his young daughter at an outlet store, finding a great pair for $12, then shopping at another store where another parent was planning on buying the same pair for $50. He told the parent about the shoes being at an 80% discount at the outlet store. Was this ethical?

    Trent at The Simple Dollar argues that he would not do this at local stores where he values their other benefits (expert knowledge, a place to play board games, ancillary services) but has no problem telling customers at major corporate chains where to find deals.

    What do you think? Have you recently experienced any social savings techniques such as coupons left by other shoppers on items or McDonald's Monopoly game pieces left behind at tables? Let us know in the comments. Photo by Bill Bradford

    Some Thoughts on Social Savings Inside the Store | The Simple Dollar

  • Cut Down on Spending by Carrying Large Bills

    In Money, Saving Money, Consumerism, Spending, Cash, Wallet, / 27 March 2009 / 0 comments

    Want to cut down on unnecessary spending? Stocking your wallet with larger bills helps keep your cash around longer.

    Photo by zzzack.

    How? Money is money right? Mathematically a hundred bucks is a hundred bucks, whether it's in pennies or a single bill. Psychologically is a whole different story:

    According to a new study to be published in the Journal of Consumer Research, shoppers are less likely to spend their dough if they are carrying cash in large denominations. This so-called "denomination effect" can be a powerful predictor of consumer spending habits. Through a series of experiments, the study shows that if people have an equivalent amount of money, say $100, the folks with a Ben Franklin in their pockets might not part with it, while those carrying Andrew Jacksons and George Washingtons more easily give up that cash.

    The researchers found several motivations behind consumer behavior. First consumers tended to overvalue higher denomination money. Even though five $20 bills is the same as one $100 when it comes time to pay for things, people treat the $100 as though it's more valuable and needs to be conserved. Another aspect might as well be called the Pringles Rule of Economics: consumers didn't like breaking large bills because breaking them often lead to spending the change more easily. It was easier to resist taking out a single large bill and breaking it for a purchase than it was to pull out smaller bills. What about you? Would breaking a large bill be enough to make you rethink a purchase?

    Want to Save Money? Carry Around $100 Bills. [TIME]
  • How Do You Deal with Gadget Lust?

    In Ask The Readers, Consumerism, Gadgets, Money, Personal Finance, Saving Money, Shopping, / 16 January 2008 / 0 comments

    mbproplz_sm.jpg Apple's launch of the MacBook Air and other products yesterday filled geeks everywhere with lust for the new notebook (or the Time Capsule, or Apple TV, or iPhone, or iPod touch). Every few months there's a new, pricey tech toy everyone wants, and deciding whether or not to pull the trigger on the purchase yourself can be a struggle. Over at personal finance blog Get Rich Slowly, J.D. Roth says new tech product launches are tough for him, but he's sticking to his guns (and his current laptop) and resisting the urge to drop cash on Apple's new offerings—a smart decision for anyone trying to get out of debt or save a few clams. It's easy to get caught up in advertising hype and follow the lemmings down BUYBUYBUY lane, so how do you resist? Or did you give in? Tell us your psychological mind tricks for immunizing yourself to the reality distortion field in the comments. Photo by Gizmodo.

    Tech Lust: How to Cope with Gadget Envy [Get Rich Slowly]
  • Do You Shop Like a Jerk? (Probably)

    In Science, Shopping, Psychology, Consumerism, Money Matters, Brandon Holley, Shopping, / 04 April 2012 / 0 comments

    Do You Shop Like a Jerk? (Probably)Are you the type of person who buys experiences, or the type of person who buys things? You're the type of person who buys Funyuns. Yes, we know. But what you do with those Funyuns reveals whether or not you are a huge jerk.

    The NYT reveals the very latest scientific studies, which show that people who buy experiences—taking your Funyuns to Iceland and posing them in quirky pictures‐are happier in life, and popular and outgoing, whereas people who buy things—framing their Funyuns on their apartment wall and not letting anyone else touch them—are unhappy and perceived as "shallow." But is it really so simple?

    Told of the studies, Brandon Holley, the editor in chief of Lucky, the shopping magazine published by Condé Nast, said she struggled with the two kinds of buying herself. "There's an $1,800 Prada dress I want right now," she said. "Do I spend it or take three weekends in Montauk?"

    Some people can't be redeemed, even by three weekends in Montauk.

    [NYT]

 
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