IS GIVING CHRISTMAS GIFTS WASTEFUL? This article by Joel Waldfogel in Slate argues that Christmas gifts should be in cash because the recipient knows what he wants better than the giver does. (Waldfogel has elaborated on the article and on his supporting research in his book SCROOGENOMICS.) Waldfogel’s research suggests that “we value items we receive as gifts 20 percent less, per dollar spent, than items we buy for ourselves.” The difference is less if the giver knows the recipient well. The argument is similar to some other arguments in economics: If the recipient wanted the gift, he would already have bought it. ( I posted here, in connection with Bernie Madoff, on “the story of the economist who won’t pick up a twenty dollar bill on a city sidewalk because he knows that if it really were a twenty dollar bill, somebody would already have picked it up.”)
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Studying the economics of Gift-Exchange does really suck the marrow out of the whole experience.
It’s useful to know we’re doing badly at giving gifts, but giving cash is a pretty sad conclusion.
When you get it right, when your gift produces tears of joy, that moment bonds friends for ever. And what’s the value of such a transaction. Now that i like striking gold or finding Diamonds, but isn’t that the aim. That’s what were all seeking to achieve in giving a gift or at least we should be.
We have rather lost the plot on giving – too much choice, not enough time, but it doesn’t say give up to me. It says try harder. Pay attention.
He doesn’t drill into the fact that it takes two to give good gift – one to listen and one to share their passions.
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