Back On Track

Happy New Year, y’all. Feeling so fresh and so clean after a week with a wicked cold. Working on a piece, so posting will be relatively light, but there’s a lot of things I wanted to link to over the last week that I never got around to. To begin is this amazing, ten-part investigative story about the obnoxiously high end chocolatier Noka. Noka charges truly shocking amounts for its luxury chocolates—over $2000 a pound! —and the author of this piece sets out to answer the question: “Are Noka’s chocolates worth the money?”

It may sound obscure, but at a time when the luxury goods sector is exploding it’s a truly important piece of reporting. Economics blogs have seized on the piece because it’s a good illustration of what’s termed price signalling. That’s when a firm uses an ostentatiously high price to signal to customers that the quality of their products is correspondingly elevated. Its an inversion of the normal relationship we think of between price and productL: in Noka’s case they are clearly selling the price itself. I think there are a lot of products for which this true.

HT to BoingBoing

Chris Hayes is the host of All In with Chris Hayes on MSNBC.

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