When browsing this subreddit, you often come across that phrase, diminishing returns.

I’m German, English is my second language, and there isn’t really a German phrase for this concept that would be on everyone’s mind when talking about this concept like ‘diminishing returns’ seems to be.

It’s a really neat concept and is true for so many hobbies, or things one can buy in general, but it is also ultra subjective, isn’t it?

Like, if someone has a 2000$ headphone but doesn’t really like it, and then spends 4000$ on one that they do like - does objective performance matter? I think the difference between the 2 could be 5%, but if it’s 5% in the right direction, they make the difference between selling it or keeping it and being happy.

I think there are people out there who don’t really shop in the 2-digit price category, or even 3-digit one, only 4 and above, for whatever reason - but they just wouldn’t be happy with a 500$ headphone, knowing that there is better stuff out there if you just spend the money.

I don’t really have a point, I just got a bit philosophical about that phrase I guess.

  • wagninger@alien.topOPB
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    10 months ago

    Yeah… I bet there is a very accurate phrase for it but you have to be an investment banker to have ever heard of it 😄sinkende Erträge is very Investment-specific

    • KeyB81@alien.topB
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      10 months ago

      Rückläufige Einnahmen? I’m Dutch, but this would be a reasonable translation imo

    • galacticbackhoe@alien.topB
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      10 months ago

      I don’t know much German at all, but I see sinkende and think of “sunk cost” in English. Look up sunk cost fallacy.

    • heuamoebe@alien.topB
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      10 months ago

      There is a direct translation for the concept of diminishing returns: “Abnehmender Grenznutzen” ;)