The money issue

Postcard #13

Fortepan / Jakab Antal

Hello and welcome back to another edition of THE POSTCARD, Unregistered’s fortnightly roundup of recommendations.

Thoughts, tools, and treats

This week’s POSTCARD is about money in all its facets.

• The price of a Wiener Schnitzel

  In May 2023, the Austrian restaurateur Sepp Schellhorn disclosed the calculation of his schnitzel price. The cost of the ingredients amounts to nine euros (3.10 euros for 130 grams of veal schnitzel, two euros for two eggs, 40 cents for flour and breadcrumbs, 1.50 euros for 120 grams of clarified butter, and 50 cents for the parsley garnish). He calculates employee costs of 18 euros – thus arriving at total costs of 27 euros. To make even a single euro of profit, he must sell the schnitzel for 28 euros, a price that caused outrage in the public reaction to Schellhorn's revelation. Quality, animal welfare, and financially expressed respect for human labor played no significant role in the discussion on social media.

• The price of a handbag

  Vogue Business says luxury profit margins can be as high as 80%. Nonetheless, the website reports that luxury brands have raised the prices of their iconic handbags by 50% on average since 2019. Meanwhile, industry experts and consumers notice a steady decline in quality. This is why Katharine K. Zarrella concludes that now „is the perfect time to seek skilled, independent craftspeople and designers who remain uncompromised by the luxury conglomerates’ production quotas and politics.“

• The price of housing

  While not problem-free, Vienna, New York Times Magazine reports, has some of the best public housing in the world, dating back to 1919. The insightful, long-form article is jam-packed with numbers and facts. Money quotes: „Viennese law dictates that rents in public housing can increase only with inflation, and only when the year’s inflation exceeds 5 percent.“ „In Vienna, a whopping 80 percent of residents qualify for public housing, and once you have a contract, it never expires, even if you get richer. Housing experts believe that this approach leads to greater economic diversity within public housing — and better outcomes for the people living in it.“ „Vienna’s generous supply of social housing helps keep costs down for everyone.“

• The price of being a citizen

  In few countries, citizens must pay as many taxes and duties as in Germany. In 2023, the deductions for someone with an average salary amounted to 37,4 percent, according to the newspaper Frankfurter Allgemeine. The total burden on gross earnings, including the employer's social contributions, accounted for 47.9 percent of labor costs in the same year. Analyses show that despite politician’s campaign promises, further increases are to be expected.

• How to spend it

  Harvard psychologist Daniel T. Gilbert and his colleagues know that if money doesn't make you happy, then you probably aren't spending it right.

Noteworthy

“We are really pleased with our revenues but our goal isn't to make money. It sounds a little flippant, but it's the truth. Our goal and what makes us excited is to make great products. If we are successful people will like them and if we are operationally competent, we will make money.“

—Then Apple designer Jonathan Ive, speaking at the British Embassy's Creative Summit in 2012

A mystery link leading into the unknown

Speaking of money, here’s David Lynch on product placement...

• ... from an artist’s perspective.

As always,

Dirk

P.S.: Feel free to send me pointers to articles, books, sites, pods, tools, and treats that could be interesting for this roundup. While I cannot promise to link them, I read and appreciate every hint.