If you mosey on over to Selena’s Instagram page, you’ll see that she is sporting a ton of Puma gear. According to E! News, she signed a two year deal worth over $30 million. Kim Kardashian is another all-star advertiser earning $500,000 per post. Cristiano Ronaldo carries a whopping 104 million followers and also cashes in at around $400,000 per sponsored post.
Imagine what your life could be like if for any situation you could enjoy the upside without suffering any of the downside. Say you love the color yellow, but it totally washes out your skin tone. Or, perhaps you really want to Keep Up With The Kardashians but unfortunately there aren’t enough hours in the day to follow the entire family’s Instagram accounts. It seems like all choices we have in life have a downside, but what if I told you that in financial markets there are contracts with no downside? No, I’m not trying to sell you timeshares. I’m talking about options pricing. Continue reading “Ready To Risk It All Part I, Options Pricing”
My friends are the worst! This past Memorial Day weekend, my three roommates decided to treat themselves to a trip to Founding Farmers and indulge in some dessert. Their decision was fairly spontaneous, which meant I already had previous plans. Determined to make me regret my choice, throughout the afternoon they sent me picture after picture of their desserts. Continue reading “Cake, To-Go Boxes, and Diminishing Marginal Returns”
Hi! Welcome to our store! My name is Kathryn. What brings you out shopping today? Have you tried our new signature scent? It comes in body wash, lotion, fragrance mist, room sprays, candles, foaming hand soap, non-foaming hand soap….If you’ll just give me your hand, I’ll just put a little lotion there…and isn’t that just delightful? No? Not a fan of that scent? Of course you can browse! Take your time. And if you could please just remember to let them know who helped you – no, my name is Kathryn, not Kathleen – just let them know at the register…ok, well, Kathleen works too….” Continue reading “Lighting the Revolutionary Fire: Karl Marx”
I remember my first car accident vividly. I was making a left hand turn out of the parking lot and didn’t come to a complete stop. I was already turning when I saw the blue F-150 driving straight towards me. I stepped on my brakes. Too late. My body jolted forward as the F-150 hit my little black car. Sitting in the front seat, I tried to contain the rising panic, my hands shaking. What would my parents think? If only I had waited just half a second longer…
Animal spirits are involved in a whole lot of our decision making. The famous economist, John Maynard Keynes knew this all along. Continue reading “Animal Spirits Peer Pressurin’ Keynes”
Last year, when I was in the horrible, awful process of moving, I had an assortment of unwanted textbooks, clothes, and furniture that combined was worth over $1,000. I faced two options. I could take pictures of all my items and upload them to eBay or Craiglist or even Facebook Marketplace to sell them for what they were worth. Or I could sell my textbooks to my friend who was taking the same class in the fall at a heavily discounted rate. My pockets would not be as full, but I would be helping out a fellow classmate. Faced with these two options, I texted my friend and sold my textbooks to her. Combined with a couple other sales, I walked away from my unwanted things for a grand total of little more than $200. Continue reading “What I Didn’t Know About Adam Smith”