A $50 dinner vs. a $50 toaster: The Relativity of Money

How do we decide the trade-offs in where we spend our money? Why are we willing to pay well over a hundred dollars for formal wear rarely worn, yet balk at paying one hundred dollars for a pair of jeans that might be worn twice a week for months? In Predictably Irrational, MIT and Duke professor Dan Ariely cites fascinating research, with interesting marketing implications, about how we compare pricing and make purchase decisions.