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Monday, January 23, 2006

Misc_: Deferred Depreciation Discount Theory

This is my theory (DDDT) - I am fairly positive that some clever chap in a university somewhere has come up with the same theory many years before but here goes. I realised that the way that my Wife and I buy things is now determined by it's period of use and value after we have used it. This more temporary attitude toward material objects is very liberating as it keeps your house free of useless junk. Of course this abilty to buy and sell is thanks to everyone's favourite marketplace eBay.

For example. We bought a pram for Ripley. We now don't use it so we are selling it and are amazed to discover we can sell it for 66% of the original purchase price.

When we buy things we spend more because we know we can get more money back for quality items and enjoy a better quality item during the finite time it is useful.

I don't believe it is just me that buys and ultimately sells like this. I know people think like this and I can only imagine the method will be followed more and more as people use online market places and discover this fact for themselves.

Why is my Deferred Depreciation Discount Theory so appealing:

1) It is easy to spend more
2) You are motivated to clear out and declutter anyway
3) You can get money back and start the process again!

For the ultimate in money saving you could buy second hand online!

Note - Naturally technology does not do so well as technology will depreciate due to the fact that it's usefulness is dependent on other factors.

I hereby claim this theory as my own :)

Penny would like me to add that I still have a loft full of sh*t (she said it with a slightly agressive tone).

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