By “Saha equation” is simply an equation that asks the question, “How much money does it make?” and answers the question “How much money does it make?” with the amount of money that an average person has in their bank account.
The equation is the classic example of “If you have one thing, you have two things.” In this case it means that the more money you have (in the form of sahas) the more money you make (in the form of money). It’s a clever idea that’s been around for a long time, but I think it’s been overused.
I had a professor once tell me that it’s like the square root of two. Basically it means that you can make more money if you have more than one thing.
Basically the question is, how much money do you have in your bank account? I’ll put my money on this one. When I was in college I went to a local ATM and bought a bunch of quarters. That was the equivalent of about $20. Now I’m at a bar and I’m buying drinks, and I’m talking about $20. You can’t really do that with money alone.
The problem with the saha equation is that it doesn’t tell you how to go about it. It tells you how much money to take with you. So if you’re buying a bunch of quarters for a party, you might say, “Hey, how much do I need to spend?” and the bar will say, “Give you 1/2 of 1 cent.
This is the problem with the saha equation. You cant say, “Hey, how much do I need to spend”? It would be just as useful if you said, “Hey, how much do I want to spend” instead of saying, “Hey, how much can I get?” or “Hey, how long do I have to wait until I get it?” The problem with the saha equation is that you can only go so far.
If you really want to get real creative, you can say, Hey, how much do I want to spend instead of saying, Hey, how much do I have to spend? Or you can say, Hey, how much do I have to spend? And, hey, how much do I want to spend? As long as the price keeps going up and up and up, you can always justify the dollar.
This is also a great example of what I mean by “fake it ’til you make it.” As a general rule, you can’t go too far before you feel like you’re losing control. You can’t go too little. You can’t go too high. You can’t go too low.
The only real rule we can come up with is that if the price you are offering is so high that you feel like you’re losing control then you should just wait it out. You can’t do anything to break the money and then get it back to where it was before you said it all.
The saha equation is a famous joke in economics. It is supposed to be a joke because it has become a cultural meme that means, “if you want to make money, you have to pay more than the other guy.” This is also the definition of fake it till you make it.
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