Have you ever wondered how much 10 EUR is worth?
Twice five is the correct answer, but a little deeper thinking leads to the conclusion that 10 EUR can be relatively high or very little money. It is relative because the value depends on the time, place, and purpose of our consumption.
Today, 10 EUR in your pocket is worth much more than a promised 10 EUR in a year, mainly due to uncertainty. Nobody knows the future, unless we can look into a crystal ball, and all that is unknown is also uncertain. The hour of our death is an unknown event, and because of this, 10 EUR today is worth more than 10 EUR in a year, because we do not know if we will be able to spend it.
Today, 10 EUR in Koper is worth 10 espressos. The same money can buy only 2 espressos in Manhattan, but in Honduras, it can buy 100 espressos. You can use it to eat a solid lunch in Koper, but in Manhattan, you cannot even sit in a decent restaurant, whereas in Honduras, you can buy 30 specialty Baleadas. It can be concluded that the value of money also depends on the place of consumption.
The purpose of our spending depends on the utility we gain from purchasing certain goods. The usefulness of further consumption decreases because the first cup of coffee does not bring the same satisfaction/benefit as the tenth cup. Therefore, we can say that the first euro spent is worth more than the last euro spent, as the last euro brings less satisfaction and benefit than the first.
Have you ever thought about how much 10 EUR is worth in the hands of UNICEF?
8 EUR can ensure food for 200 children for an entire week, meaning if you are a monthly donor of eight euros, you can feed 50 children for a whole month. Is it worth donating such a sum of money? Definitely, because you yourself will have 8 euros less per month for consumption and no economic benefit from this action. This text is not intended to convince you to do something, but merely to inform. The choice is yours, and whatever you decide, will be your decision.
If you’re wondering how valuable 10 EUR is for children around the world who need food for mere survival, you alone cannot answer this question. You can try to find out how much money would be needed in Koper for 200 children to have something to eat for a week. If you assume that the daily ration is worth 1 EUR (a very modest and optimistic estimate), then for 200 children over seven days, you would need 1400 EUR (200 children x 1 EUR x 7 days).
A donation of 8 EUR may be worth much more to the recipient.
