ABSTRACT
In principle, the source of money should not influence its value in our eyes. For example, €100 earned by working has the same value as €100 won in the lottery. If I am disposed to spend €100 for a match ticket, I will be so regardless of whether I won or earned the sum. The underlying economic conception is that the €100 will contribute to our overall level of wealth, on the basis of which we will decide if the cost of the ticket is greater than the utility derived from seeing the game. If this is judged to be greater than utility we can expect from an alternative use of the money then we will buy the ticket, while otherwise we will not do so – naturally with the proviso that our economic circumstances are such that we can afford it, i.e. that the purchase falls within what economists term our budget constraints (Fig. 7.1).
