Originally Posted by
stevens397
Your argument as to whether there is value if someone would not willingly pay that amount is an old and constant discussion on FT. There is no answer and no agreement. But I think that all can agree that it is a pleasure to live the good life and enjoy perks, even if you cannot afford them and might not pay for them.
I totally agree. There are undoubtedly scholarly theories on the "value" of money and how each of us perceives that value of when making spending choices. I would not (and could not!) pay thousands of dollars to fly business class from BOS to DEL (as I am doing in January), but would happily do so with AA miles. It's like adding a day to the vacation on each end. Pricing is based on supply and demand, and airlines charge so much for those seats because they can get it. If I can get the same thing by "paying" 1.5 cpm and getting a 6 cpm "value" on something I could never afford but delighted to have, I consider it a very big day.
I sincerely tip my hat to those who don't succumb to the emotional value of the purchase and can stick to the economics. But at my age, there's a value to doing something "crazy" every now and then - especially when it's with miles and not dollars.