Lik

車，以為有乜野咁把炮。你夠膽講 opportunity cost，我就更加肯定我可以KO到你個垃圾argument一棟都無。有料到嘅話就成個理論講晒出來，等我同你逐點擊破，睇吓你有咩辦法來解釋繼續 keep 架車、年年 dum 錢落去整先至係上算。而且我已經立即可以應承你，我一定會用返 opportunity cost 呢個概念來 KO 你。

天下間根本就無啲咁戇車嘅「邏輯」去一直養架年年要大修嘅爛車，而共慘黨亦本身就係不斷蠶食中國嘅禍胎。

-力

rockypath

車，以為有乜野咁把炮。你夠膽講 opportunity cost，我就更加肯定我可以KO到你個垃圾argument一棟都無。有 ...
Lik 發表於 2011-10-17 14:05

我一早已經很清清楚楚地告訴你答案就在經濟學第一課頭三章裏 （可以有乜野咁把炮？這都是再基本不過的入門概念！）。 我沒有騙你也沒有玩你。

這與夠不夠膽講 opportunity cost 沒有任何關係。 我問的問題就是這三章後面的其中一條練習題目。

你的反應我與大家都預料到並且等著你發作。 不要在此繼續丟人顯眼了。

一個從不敢承認和面對自己的無知和錯誤的人，絕對不是一個勇士而是一個懦夫。

P.S.    這個問題的答案不涉及任何Argument，因此也無從涉及任何垃圾。 如果你硬要說經濟學的opportunity cost概念是垃圾。 我想唯有封你為ＬＹＫ最狂妄自大和無知的會員的稱號之外，我想不出有什麼其他稱號可以給你。

最後再給你一個提示。 答案不在於是賣還是保留那輛車。答案是如何決定是賣還是保留那輛車。如果你不想做懦夫的話，就謙虛地學習和思考。

Lik

Ok, I'll take your answer as:

The opportunity cost to sell the car is too high because of... whatever reason

Now, preicsely, what are those so called reasons that you claim? If you even dare to cite any one of them, I'll rebuke it with a counter argument so strong that it'll knock you out of your socks.

But I'll give you a taste of the stupidity in your so called flawless reasoning here: If the real world really works like that, everyone in this world would be driving old clunkers from the 1950's because "the opportunity cost to decide whether we should buy or sell the car is too high".

I think you should really be the one to take your own advice:

一個從不敢承認和面對自己的無知和錯誤的人，絕對不是一個勇士而是一個懦夫。

-Lik

rockypath

Ok, I'll take your answer as:
The opportunity cost to sell the car is too high because of... whatever reason

Now, preicsely, what are those so called reasons that you claim? If you even dare to cite any one of them, I'll rebuke it with a counter argument so strong that it'll knock you out of your socks.

Lik 發表於 2011-10-17 14:51

懦夫就是懦夫。 你只會讓人更加瞧不起你。

我什麼時候告訴你問題的答案是要保留那輛車因為賣車的機會成本太高？

我早就告訴你答案不在於是賣還是保留。答案是如何去決定是賣還是保留那輛車。

你真是無可救藥了。   

Lik

So that's your answer, huh? That the decision process to sell or keep the car amounts to too high an opportunity cost, so instead of making the effort to make that decision, you simply just blindly press ahead with the decision to repair it?

That is the most ridiculous answer I have ever heard. Honestly, I expected more from you.

Let's look at the "cost" of making the decision to see whether you should fix the car. The general rule of thumb to stop repairing a car is when the cost of the repair exceeds the market value of the car. Since you already know the car is only worth $5k, but the known service and maintenance cost will already cost $2.5k a year, in 2 year's time, you would have spent as much on the car as it is worth, thus meeting the criteria to stop fixing it.

But then there are the unknown costs. Since it is an old car in need of known repairs, additional parts are likely well worn anyway, and would easily fail. That would add to a yet higher monetary cost. These repairs could be big or small, but they'll ding you neverthless. So your total out-going sum over 2 years is gonna be way over $10k. But by then your car won't be worth $5k anymore. Over a 2 years period, it's quite reasonable to see the car depreciate a further ~$1k a year, so the car is worth $3k. So you have:

($10k) + ($??k) (unknown repairs) + $3k =  ($7k) + (cost of unknown repairs)

And we still haven't factored in the cost of your time and inconvenience when the car breaks down, and you have no car to use.

How, how much would a new car cost? You can buy a brand new and reliable car for as little as ~$15k. Repair costs are extremely small because the car is new and reliable. That is not to say there is no risk in the car needing repairs, but the chances of those are slim, and the repair would likely be covered under warranty. You may have to do a bit of research and car hunting, but in this day and age, Google makes that painless and quick. And with a new car, you get the latest safety features and better fuel economy to boot.

So it boils down to:

total opportunity cost of old car:
$7k + unknown repair cost + inconvenience from planned and unexpected down time

total opportunity cost of new car:
$15k - benefits you gained from having the latest safety features - benefit of peace of mind in knowing that there'll be a minimal number of surprises

As a rule, humans hate the unknown, and it costs additional stress and anxiety. Also, the cost of unknowns will usually turn out to cost more than what we expect.

So did that take long? It only took me like 10 min to type it all out.

Now, moving on to the CCP. The social costs of continuing to have the CCP around is astronomical. With 1.3B people living under its rule, how many people have suffered as a result? How many more incidents of little girls getting rolled over do you want to see? How many different types of new poisonous food do you need to eat (and get sick from) before enough is enough? As long as the CCP stays in power, there will be no end to the Chinese's suffering.

-Lik

rockypath

So that's your answer, huh? That the decision process to sell or keep the car amounts to too high an ...
Lik 發表於 2011-10-17 15:58

I appreciate your effort to answer the question with your common sense.

It just shows the difference between how people with economic knowledge and people without economic knowledge look at the same issue differently and the process of making decision and as well the principles they based on to form the decision differ from each other.

One more tip for you - "How are you going to look at the $5000 original purchase price? Should it affect your decision of keeping or selling the car?"  By the way, to make it easier, you can leave out the option of buying a new car (i.e. you cannot afford buying a new car).  
This is the last tip I will give you and it should be enough.  

ricrick

覺得rockypath煩的請舉手
有屁就真接放啦，你係老師定考官？

rockypath

覺得rockypath煩的請舉手
有屁就真接放啦，你係老師定考官？
ricrick 發表於 2011-10-17 16:41

不如直接向Ａｄｍｉｎ告狀拉笨。

順你意就多多愈善，不順你意的就封殺。  共產黨的論壇管制之風似乎已經吹到這個論壇。

ricrick

我不知大陸的保險係點
通常車親人會有第三者保險，但大陸為何要自己賠錢？若有保險就吾洗走左去
車死人比重傷醫藥的賠少，令到私機非車死人不可! 車一次不死要倒車車多次，其實已等同謀殺

Lik

total opportunity cost of old car:
$7k + unknown repair cost + inconvenience from planned and unexpected down time

total opportunity cost of new car:
$15k - benefits you gained from having the latest safety features - benefit of peace of mind in knowing that there'll be a minimal number of surprises
Lik 發表於 2011-10-17 15:58

Actually, I forgot to include a very important point that I was going to include, but have somehow forgotten.

At the end of the 2 years, your brand new car is still gonna be worth a good chunk of money. Even if you factor in a depreciation of 30% (which is probably too much for a 2 year car), the car is still worth a good $10k. So essentially, the total monetary cost of a new car alone is only going to be $5k, and then you still have the intangible benefits.

So, here are the monetary TCO alone of keeping the old junker vs buying a new car, and I am not even considering any intangible benefits, nor the amount of money you get from selling the old junker before you buy the new car:

TCO of keeping old junker
($5k cost of car) + ($5k cost of repairs over 2 year) + $3k residual car value = ($7k)

TCO of buying new
($15k cost of car) + $10k residual car value = ($5k)

As you can see, at the end of the 2 years, you would have spent $7k had you kept the old junker. If you bought a new car, however, it would only have cost you $5k. If you include the intangibles, the argument to buy new would be even stronger.

Now, Rocky, with cold hard numbers staring right at your face, come out and admit that you have no clue what the proper answer is to your own question. You toss around big words like "opportunity cost" as though you know what you are talking about, but in reality, all your calculations and estimates are completely off base.

The same goes for your evaluation on the CCP. By way of your car selling example, you were essentially trying to establish that the opportunity cost of keeping them around would be lower than getting rid of them. Clearly, you are completely wrong.

Now shut up, go learn some manners, and try to learn a few things from me before you try to show your face around here again la.

-Lik