Original date published September 3
In honor of my daughter heading back to school today, I’m feeling like heading back to school this week to discuss some of the basics of economics, physics and wood shop/painting. How am I going to make it work and have it be interesting? Stay tuned this week and learn a little something fun in the process!
I loved majoring in economics. Not saying it was easy, but it helps me frame the way the world operates. Events like shopping can always be enhanced with some econ 101.
Econ 101: Supply and Demand
The basic premise is that the supply, demand, and cost of goods are related. I’ll stick with demand, since, in my examples we are the “demanders” or customers.
When demand is high, generally the items demanded cost more (if supply is held constant). If demand is low or little, and supply is again held constant, things tend to cost less than they “should”. “Should” is really equilibrium (what the market dictates)–and since I’m trying to keep this reader friendly I’ll stop there. [Disclaimer: I did not look at any econ books for the explanation, I went off the top of my head from classes I took many many years ago… This is all in fun.]
Reinforcing the lesson with a real life example:
Demand and prices play out in my everyday with when I choose to shop. I generally (really only) shop for clothes and shoes out of season (when demand is low) because I get spectacular deals. Call it the mini-economist in me, but I just cannot pay full price for things knowing if I wait a few weeks or months, it will be 75%+off.
I think working at Old Navy in my high school days adds to my ability to wait for a deal. I would see prices drop so far below from where they started…I just can’t part with my money for anything at full price.
I am the girl you’ll see with lots of new summer clothes in late August and new winter clothes in February. Patience pays off 🙂
About a month ago, I (reluctantly) went to DSW. On the whole, I am not a fan of walking up isle after isle looking at hundreds(?!) of shoes. I only go when my good girlfriend (who loves DSW) is looking for something particular. Ironically, she usually leaves with nothing and I leave with a cute pair of super cheap shoes. That day it was a pair of black riding boots (on clearance!) similar to these:
I am happy to say I’ve finally ended my hunt for riding boots. I am looking forward to wearing them with leggings and leather or with or a casual dress.
My most recent trip to DSW I purchased camel colored knee high boots. I am ready to rock those as well!
At the local mall in say mid July I snagged a cute black sweater, navy blue and cream cardigans, a pair of grey skinny jeans, and an unforgiving (yet super cute) navy and white striped dress(similar to that above) all at Banana Republic, all on the super cheap!
Now I realize if you tend to be a popular size, waiting to purchase clothes could lead to missed opportunities. But the good news is that retailers are so far ahead of themselves these days, that “out of season” is still in season! All of the good deals above were acquired in late June! The end of summer for retailers, in still season for everyone else. I’m just salivating waiting for the fall/winter deals in February.
(shout out to the hubby who patiently entertained our daughter as I shopped at the mall)
stay educated and enjoy class!