Wednesday, November 16, 2011

8. An apple costs 20 cents, an orange costs 40 cents, a grapefruit costs 60 cents. How much is a pear?

What do we know about pears in relation to the other fruits?
What do we know about the pricing of fruit in general?
We know that fruit is priced according to relative weight. We know that fruit is priced according to relative scarcity.
We know pears are generally larger and heavier than apples.
We know that pears are relative scarce when compared to apples. This scarcity will mean that buyers will pay a premium.
We know that the price of pears might have a greater correlation to the price of apples than to the price of citrus fruits oranges and grapefruits.
If an apple costs 20 cents, we can safely guess that a pear might be twice as expensive or 40 cents.
If a pear has greater relative scarcity when compared with not only an apple but also an orange , we can safely guess that a pear will be more expensive than an orange or more expensive than 40 cents, perhaps 50 cents.
We might have a difficult time pricing the pear without more information.
The fact that the grapefruit costs 60 cents is not very helpful because grapefruits are both less readily available than oranges and heavier.
I'm not sure about the relative scarcity of pears when compared to the availability of grapefruits.
Perhaps a pear also costs close to 60 cents.
I am able to estimate a cost of 50 to 65 cents based on knowledge of factors in pricing fruits and the relationships of the pear to the other fruits. I'm not able to price the pear more accurately than providing this range.

1 comment:

  1. Or you know, based on 'certain circumstances' you might say it costs 20 cents because all the other fruits are 10 cents per vowel.

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