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Thursday, November 03, 2011
Value of scarcity
A few years ago, I asked what is the breakeven point if you don’t consider two 3-WAR players to be equal to one 6-WAR player.
Rally responded with:
From that formula, a 5.3 WAR player is equal to:
2 3.0 players
3 2.25 players
4 1.9 players
5 1.7 players
Which, I think, is a reasonable viewpoint among those people who give value to scarcity. I responded as follows:
Good stuff Rally, just the basis for discussion I was looking for.
Ok, if for trade purposes:
5.3 = 3.0 + 3.0Then what would be the equivalent here:
x + 0.7 = 3.0 + 3.0
And once you do that, then answer these as well:
y + 1.7 = 3.0 + 3.0
z + 2.7 = 3.0 + 3.0
Give me your answers for x, y, z.
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