My brother Neal just called to say my nephew Doug had a bedtime question. Doug got on the phone and asked, "Is it better for a store to charge low prices and get a lot of customers, or charge high prices and get a small number of customers?"
Now that's a heck of a good question for a kid his age. Actually, it's a good question for an adult, but what really impressed me was the clear understanding of the Law of Demand implicit in the question. I told him the store should pick a point in between, because either extreme (high price and low sales, or low price and high sales) would be a mistake. I was tempted to jump into an explanation of elasticity of demand and marginal pricing... but I thought that might be a bit much for bedtime.