Olympic Metals, Fountain Chaos 🪙, and Cheaper Doritos
A weekly news roundup
Intro to Econ: This year’s Olympic medals are worth more than ever | CNN Business
The value of the metals in an Olympic medal are worth double compared to the Paris Olympics. But most Olympians won’t sell their medals, valuing them much higher than their monetary value.
Externalities and Public Goods: How Tourists Are Already Skirting Rome’s New $2 Fee to Toss a Coin in the Trevi Fountain | People
Rome turned the overcrowded Trevi Fountain into a club good, requiring a 2 euro fee for entry, in an attempt to solve a tragedy of the commons situation and fund expensive maintenance for the landmark. But, tourists unwilling to pay the fee have discovered a new way to make themselves a nuisance–throwing coins into the fountain from outside the barrier.
Elasticity: PepsiCo cutting prices on Doritos and other snacks by up to 15% | Food Dive
PepsiCo is lowering the price of Doritos by 15% in a bid to boost purchases as consumers have switched to store-brand chips, or healthier alternatives. Translation: demand for Doritos is elastic and PepsiCo is betting that lower prices will boost revenues.
Creative Destruction: Minute Maid to discontinue frozen canned juices after 80 years | Food Dive
Buy yourself some frozen OJ before it disappears forever. Improved pasteurization has made frozen OJ obsolete.
Until next week,
Ariel