Mohamed A. El-Erian , Columnist

Lessons From My Anxious Holiday Shopping

Applying different schools of economics to make gift-giving more efficient.

December 30, 2016 at 7:00 AM UTC

Mohamed A. El-Erian is a Bloomberg Opinion columnist. A former chief executive officer of Pimco, he is president of Queens’ College, Cambridge; chief economic adviser at Allianz SE; and chair of Gramercy Fund Management. He is author of “The Only Game in Town.”

Stress test.
Photographer: Stephen Chernin/Getty Images

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Phew. Somehow, I survived the uncertainty and anxiety of what economists like me often regard as an inefficient tradition: spending hours looking for the right holiday gifts. Fortunately, this year's trials and tribulations provided me with a few more anxiety-reducing steps for the next set of birthdays, anniversaries and holidays.

This time, it was even more clear that most of the people I give gifts to do not buy into the neoclassical economists' view that cash dominates gift selection. After all, a straight-out cash present allows them to buy not just what I would have given them, but also something they may prefer more.