How much for that egg
Planet Money
2025/04/18
How much for that egg
How much for that egg

Planet Money
2025/04/18
In a creative twist on economic problem-solving, NPR's Planet Money dives into the challenge of fairly distributing a surplus of farm-fresh eggs during a shortage. With colleague Sam Mertens facing high demand for his backyard chicken eggs, the team explores innovative pricing techniques and allocation methods beyond auctions or lotteries.
The podcast examines various approaches to distribute eggs equitably. A blinded survey technique from product development assesses preferences by ranking eggs against other breakfast items. This uncovers genuine valuations without bias. The Becker-DeGroote-Marshak (BDM) method, used in development economics, is then applied to measure true willingness to pay through random price generation. Participants like Becky Brown and Valentina Rodriguez Sanchez experience this firsthand, revealing their true valuation of eggs. Through these methods, the show highlights economic principles of pricing and trade in an engaging and relatable context.
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Sam sells eggs for $5 to cover chicken care costs.
05:54
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A survey expert was consulted to fairly distribute extra eggs.
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Mike Myers was identified as the one who most valued eggs.
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The BDM method helps economists measure true willingness to pay.
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Valentina saved $4.78 by getting a 22-cent egg through the random number generator.