Economics of dating relationships

Economics of dating relationships

Alas, the market for love isn't quite like the market for Camrys.

I am almost positive if their Hollywood crush had asked them out, they would not have been as studious!But free exchange can also create problems much closer to home: The futility of online dating might be the result of a market failure.It all comes down to something called "asymmetrical information." Daters know more about themselves than their prospective mates.Everyone wants to find good dates -- and are wiling to lavish them with expensive dinners and whatnot -- and avoid bad ones. Everyone in the market can pretend to be a good type -- say, by lying on their Internet dating profiles.So now you have this market where everyone is presenting themselves as a good type. You don't know which ones, so you'll value every potential date a little bit less than as good as they look.

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We put our free time at stake each time we accept a date.

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