Peek of the Week
Valentine’s Day Commentary
February 13, 2020
February 13, 2020
The
Economics of Love
Romantics welcome Valentine’s Day and having the opportunity to
lavish loved ones with attention. Economists appreciate Valentine’s Day, too.
Sure, the $13 billion spent on Valentine’s Day is just a drop in the $17
trillion bucket of goods and services produced in the United States, but love
is powerful and has value beyond the candy, flowers, cards, jewelry, meals,
clothing, and other gifts purchased for the occasion.1 In Bloomberg View, one economist offered
this insight,
“…We
think there is a deeper and more consequential purpose to the study of love.
Think about what love means to you. To us, it means caring about others and
being cared for. Love is valuable, even if it is absent from both our national
accounts and our political discourse.
In
the language of economics, love is a form of insurance. It involves bonds of
reciprocity that provide support when we’re feeling down, when we’re sick, and
when times are tough.
…Mutually
beneficial relationships make us all more resilient in times of crisis. This is
why the household remains one of the most powerful institutions for organizing
not just families but also our economic lives.”2
We hope this Valentine’s Day will find you well loved in the
company of family and friends. If you find yourself wanting to lavish them with
financial gifts, give us a call. We’re always happy to help!
Best regards,
Leif M. Hagen
Leif M. Hagen, CLU, ChFC
LPL Financial Advisor
LPL Financial Advisor
P.S. Please feel free
to forward this commentary to family, friends, or colleagues. If you would like
us to add them to the list, please reply to this email with their email address
and we will ask for their permission to be added.
Securities offered through LPL Financial, Member FINRA/SIPC.
Sources:
v The above material was prepared by Carson
Coaching.
