Economics with Migration

Leaving hometown is a big step for every member of the family. When people think of shifting from one place to another, they face TRADE-OFFS, as they have to choose amongt the known and unfamiliar cities and work places.

Shifting to new place, new surroundings, new people and new work environment. When people move there are different reasons for the shift, it usually is to improve the economic status of the individual or the family.

When I was in my teenage, my father got a better offer in another state. My family was thinking to move to improve the financial conditions.  This shift can be termed as MOBILITY.

There were long held discussions among all the elders. Then, one of my uncles suggested to compare all the pros and cons of the new job and the city with the one we were living in. He is a rational man and RATIONAL PEOPLE THINK MARGINALLY.

After comparing all the incentives, pros and cons, we took the big step. We shifted. Now this shift again brought a number of situations. Being a new place, we had no access to home cooked food till our gas connection was allotted again. Till that time, we had to rely on restaurants for our three day meal. Initially me and my sister were very happy with the idea of eating in restaurants. But our craving for fast food died within two days. This was the DIMINISHING MARGINAL UTILITY we faced. The food we loved, we didn’t want anymore.

Then we found a restaurant which had home like food. It was a Rajasthani thali system restaurant which allowed unlimited food per plate. Me and my sister made fun of the shop owner that he made us pay for just one plate each and then too insisted for more. We were happy with the price and never thought why he did that. Now I realize that he was enjoying MARGINAL PROFIT. For every thali he sold, only few of the customers would eat more than the thali he offered. And in the name of unlimited food, he had many people coming, due to which he enjoyed a huge amount of profits.

After that one time, we have changed many cities and we are use to of all these economic situations.