Picture an artist looking to buy a sketchbook. It might seem alluring at first to choose a cheap $10 notebook from a local dollar store rather than buying a high-quality $30 book from a good paper company. But the $20 that they thought they saved takes a toll as they notice the ink bleeding through low-quality pages or paper tearing too easily. This is just an example of how cheaply-priced products may sometimes cost a lot in the long run.

Ultimately, this is something that makes rich people richer and traps the poor in the vicious circle of poverty. This idea is sometimes referred to as “Captain Samuel Vimes ‘Boots’ Theory of Socioeconomic Unfairness.” In January 2022, a post was shared on the X account of Terry Pratchett (@terryandrob), the late English author and creator of fictional character Samuel Vimes. A story excerpt from his book was shared, where this empirical “Boots Theory” was illustrated.

Representative Image Source: Wellington boots in a row in hallway (Getty Images)
Representative Image Source: Wellington boots in a row in hallway (Getty Images)

Samuel “Sam” Vimes is a fictional character from Pratchett’s “Discworld” series. Vimes is a captain of a fictional town “Ankh-Morpork City” and is depicted to be an alcoholic who has given up hope of making a difference in the city. Eventually, the character comes across a dwarf named Carrot who helps him rise from the ashes. Synchronizing with Vimes’ experience of poverty, in his 1993 novel “Men at Arms,” Pratchett lays out the “Boots Theory” that is reasonable in every way.

Image Source: Writer Terry Pratchett Pointing to His Book (Photo by Rune Hellestad/CORBIS/Corbis via Getty Images)
Image Source: Writer Terry Pratchett Pointing to His Book (Photo by Rune Hellestad/CORBIS/Corbis via Getty Images)

The idea, as Pratchett explained in his book, is about spending more on high-quality products now to save money in the future, rather than buying cheap-quality products now to bear expenses later. “The reason that the rich were so rich, Vimes reasoned, was because they managed to spend less money,” the first post of the thread read.

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The example of boots was then introduced. “Take boots, for example. He [Vimes] earned thirty-eight dollars a month plus allowances. A really good pair of leather boots cost fifty dollars. But an affordable pair of boots, which were sort of okay for a season or two and then leaked like hell when the cardboard gave out, cost about ten dollars. Those were the kind of boots Vimes always bought and wore until the soles were so thin that he could tell where he was in Ankh-Morpork on a foggy night by the feel of the cobbles.”

The results of buying good and bad quality boots were then laid out. “The thing was that good boots lasted for years and years. A man who could afford fifty dollars had a pair of boots that’d still be keeping his feet dry in ten years, while a poor man who could only afford cheap boots would have spent a hundred dollars on boots at the same time and would still have wet feet.” The example aptly explains how sometimes it can be so expensive to be poor.

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Given its practical significance, the ‘Boots Theory’ is here to stay for the future. Reactor Magazine reported in 2022 that Pratchett gave Jack Monroe, a UK writer, permission to use Vimes’ name for the “Vimes Boots Index,” a price index that will track the “insidiously creeping prices of the most basic versions of essential items at the supermarket.”

Speaking to The Guardian, Pratchett’s daughter Rhianna Pratchett said that her father used his anger about inequality to help the moral core of his work. Sam Vimes was an illustration of this. He railed through the injustices to rise from poverty to riches. “Vimes’s musing on how expensive it is to be poor via the cost of boots was a razor-sharp evaluation of socio-economic unfairness,” Rhianna said, “And one that’s all too pertinent today, where our most vulnerable so often bear the brunt of austerity measures and are cast adrift from protection and empathy. Whilst we don’t have Vimes anymore, we do have Jack, and Dad would be proud to see his work used in such a way.”

This story originally appeared three years ago.

  • Millions of Illinois residents wake up to find that $2.6 billion of their medical debt has been eliminated
    Photo credit: CanvaMillions in Illinois had their medical debt paid for.

    Regardless of how well or poorly the overall economy is doing, many Americans are saddled with crushing medical debt. Such debt can hold people in a dangerous place: they can’t prosper or build wealth because they’re too deep in the hole, and they might make their health worse by forgoing necessary care in order to save. However, one million residents in Illinois are breathing a sigh of relief knowing their medical debt has been paid for.

    Partnering with officials in Cook County and Undue Medical Debt, Illinois Gov. J.B. Pritzker worked on the Illinois Medical Debt Relief Program based on a Cook County Medical Debt Relief Initiative. The patients needn’t apply for the relief initiative; they just had to be Illinois residents with a household income at or below 400% of the federal poverty level. They could still qualify if they had medical debts equal or more than 5% of their annual household income. If qualified, the resident would receive a confirmation letter that their debt had been paid.

    Debt today, gone tomorrow

    “In Illinois, we believe healthcare is a human right—and affordability is central to that promise,” Lieutenant Gov. Juliana Stratton said in a press release. “No one should ever delay care because of cost or face financial ruin simply because they got sick. The Illinois Medical Debt Relief Program is about lifting that burden, strengthening families, and ensuring every Illinoisan can seek the care they need. When we make healthcare more affordable, we build healthier and stronger communities.” 

    “Combined with our partners here in Cook County, who have erased $1.5 billion, we have delivered more than $2 billion in relief to over a million Illinoisans in all 102 counties of our state, with an average elimination across the state of $1,200 per patient,” Pritzker told The Center Square.

    Another state collaboration with Undue Medical Debt

    If this story sounds familiar, GOOD recently covered the state of Connecticut partnering with Undue Medical Debt in a similar fashion. To put it simply, the strategy UMD and their partners use is to purchase medical debt from bill collectors. They bundle and purchase the debt for a discount and, since they are buying so much debt at once, they’re typically able to negotiate a good deal. This means that they’re able to purchase most debt for pennies on the dollar.

    It’s not without critics

    While this has been bringing relief to many folks, there are still critics. A 2024 National Bureau of Economic Research study found that medical debt erasure didn’t improve the recipients’ overall financial well-being. While no longer having medical debt relieves a burden, it doesn’t automatically raise a person’s wages, assist housing needs, etc. 

    They also argue that having medical debt relieved wouldn’t improve a person’s access to healthcare. A patient may accrue new, additional debt because of ongoing care. A person may also still avoid getting necessary care to avoid a new bill.

    It will be interesting to see if this version of medical debt relief becomes even more common or if different solutions are inspired from it.

  • The states with the highest rates of uninsured drivers and what it costs everyone else
    Photo credit: mojo cp // ShutterstockAn insurance agent explaining a policy to a customer.
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    The states with the highest rates of uninsured drivers and what it costs everyone else

    Coverage gaps leave insured drivers and taxpayers footing the bill.

    Jeff Temple

    Nearly every state requires drivers to carry auto liability insurance, yet millions of motorists are still on the road without it.

    In 2023, 15.4% of U.S. drivers were uninsured, according to the Insurance Research Council, meaning more than 1 in 7 motorists lacked coverage that could pay for injuries or damage they caused in a crash. The rate has increased since 2017 and remains elevated after a pandemic-era jump that affected nearly every state.

    The burden is not limited to those driving without coverage. When an uninsured driver causes a crash, costs can shift to injured people, insured drivers, insurers, public systems, and households already dealing with higher auto insurance prices.

    Temple Injury Law, a Las Vegas personal injury law firm, examined national insurance and crash-cost data to understand where uninsured driving is most common and how those costs ripple beyond the crash scene.

    Mississippi, New Mexico, and D.C. had the highest uninsured-driver rates

    The highest uninsured-driver rate in 2023 was in Mississippi, where 28.2% of motorists were uninsured, according to the IRC. New Mexico followed at 24.1%, and the District of Columbia ranked third at 23.1%. At the other end of the spectrum, the lowest rates were in Maine at 5.7%, Utah at 6.2%, and Idaho at 6.4%.

    Those gaps show how differently the uninsured-driver problem plays out across the country. In Mississippi, the share of uninsured motorists was nearly five times Maine’s rate. Nationally, the National Association of Insurance Commissioners notes that uninsured-motorist rates range from 5.7% in Maine to 28.2% in Mississippi, despite near-universal legal requirements to carry coverage.

    The Insurance Research Council says several factors are associated with state-to-state differences, including economic conditions, insurance costs, and state insurance laws and regulations. That makes uninsured driving both a compliance issue and an affordability issue: A state can require insurance, but that does not guarantee every driver can afford or maintain it.

    Most states require insurance, but enforcement varies

    Auto liability insurance is compulsory in 49 states and the District of Columbia. New Hampshire is the only state without a compulsory auto insurance law, though drivers there must meet financial responsibility requirements in certain circumstances.

    Liability coverage is meant to protect other people when a driver causes a crash. But minimum coverage requirements vary by state, and so do enforcement systems. Some states use electronic insurance verification programs, registration checks, fines, license suspensions, or other tools to discourage uninsured driving. Others rely more heavily on proof-of-insurance checks after traffic stops or crashes.

    The result is a system in which uninsured driving can remain undetected until a collision occurs. By then, the financial problem has already moved from a compliance question to a question of who pays.

    The cost often shifts to insured drivers

    The NAIC describes uninsured motorists as a cost burden on drivers who comply with compulsory insurance laws. When uninsured drivers cause crashes, some of those costs are integrated into uninsured-motorist coverage purchased by insured drivers, which can help pay for injuries or vehicle damage caused by someone without insurance.

    That does not mean uninsured drivers are the only reason premiums rise. Auto insurance prices are affected by many factors, including accident rates, traffic density, vehicle theft, repair costs, medical and legal costs, population density, weather, and state liability requirements, according to the NAIC’s 2023 Auto Insurance Database report.

    Still, uninsured driving adds another layer of risk to an already expensive system. The NAIC reported that the countrywide average auto insurance expenditure was $1,281 in 2023, up 13.98% from the previous year. The countrywide combined average premium rose 14.41% to $1,438.

    For households living close to the edge, those increases can matter. In its 2023 household well-being survey, the Federal Reserve found that not all adults could cover an unexpected $400 emergency expense with cash or its equivalent, underscoring how a relatively small financial shock can force trade-offs for some families.

    Crash costs reach far beyond insurance claims

    The financial consequences of uninsured driving sit inside a much larger crash-cost system. The Bureau of Transportation Statistics estimated that motor vehicle crashes in 2019 incurred $340 billion in economic costs, including medical care, lost productivity, legal and court costs, emergency services, insurance administration, congestion, property damage, and workplace losses. Public revenues covered roughly 9% of all motor vehicle crash costs in 2019, amounting to about $30 billion, or $230 in added taxes for every U.S. household.

    Those figures are not limited to crashes involving uninsured drivers. But they help explain why insurance gaps matter: When the person responsible for a crash lacks coverage, the costs do not disappear. They are absorbed elsewhere. It can be through another driver’s insurance, out-of-pocket expenses, health coverage, legal systems, public services, or uncompensated losses.

    Underinsurance is growing, too

    Uninsured driving is only part of the problem. In 2023, 18% of U.S. drivers were underinsured, meaning they had liability insurance but not enough to cover the injury costs caused by a crash, according to the Insurance Research Council. Combined, IRC found that about 1 in 3 drivers was either uninsured or underinsured.

    That distinction matters for crash victims and insured motorists. A driver may technically comply with state insurance requirements and still carry limits too low to cover serious injuries, medical bills, lost income, or long-term care. IRC noted that rising underinsured-motorist rates are driven by upward pressure on the severity of bodily-injury claims.

    For drivers, the practical risk is similar: Even when another motorist has some insurance, the available coverage may fall short of the crash’s actual cost.

    What the numbers show now

    The latest public data points to a persistent national problem: Uninsured driving remains common, the highest-rate states have uninsured-driver shares above 20%, and underinsurance is rising alongside it.

    For insured drivers, the issue is not only whether another motorist is following the law. It is whether the financial safety net that is supposed to follow every vehicle on the road is strong enough when a crash happens. In states with the highest uninsured-driver rates, that safety net is missing for roughly one-quarter of motorists.

    This story was produced by Temple Injury Law and reviewed and distributed by Stacker.

  • South Korea creates a website that allows you to pretend to order takeout to get the dopamine rush without spending a dime
    Photo credit: CanvaGet the excitement of shopping without spending money.

    Have you ever done “retail therapy”? You feel stressed and overwhelmed so you decide to shop for some clothes or order food from an app? Sure, it can help you feel better in the moment, but not if you’re trying to save money. But what if you could get the same feeling of anticipation and the feel-good experience of shopping without spending anything? South Korea cooked up a solution.

    One of the latest trends that started in South Korea and is turning global are what are being called “dopamine sites.” These websites and apps provide realistic-looking digital storefronts that allow a person to add items to their cart, a fake credit card to fill out orders, and even simulate delivery trackers. The store, items, and everything about the transaction is fake but your brain gets that dopamine hit anyway.

    One example of this is FoodNeverComes, a fake delivery app in the vein of DoorDash and UberEats. The app is full of different eye-catching pictures of food to “order” like in those apps, allowing you to pick and choose. Users have said this app allows them to satisfy late-night cravings and get that feel-good buzz of ordering takeout without actually buying anything. If a person really does want a dish that’s on the app, FoodNeverComes provides a recipe so users can make it at home if they really want it.

    Abandoning the cart, feeling good anyway

    So why are people feeling the emotional payoff of making a purchase without actually buying anything? The psychology behind it is similar to the feeling some people get when they visit a website, add a bunch of items into the cart, and then abandon it. Psychologists found that anticipation of receiving an item is what triggers a better mood rather than actually having it in hand.

    Psychologist Dr. Deborah Ko explains in a video that this is due to what she called the endowment effect. She explains that putting items in a digital cart allows a person to feel like they “have” those items. Once you “have” those items it makes your brain already feel like you own it. 

    “It was the act of shopping that was the reward, not the product itself,” she says.

    These dopamine sites and apps simulate all of that and allow the brain to get that hit but eliminate the temptation and consequences of hitting the “buy” button.

    Are these dopamine sites good?

    Many psychologists are mixed as to whether these dopamine sites are beneficial. On one hand, it could help a person who regularly impulse buys food or products they cannot afford while also satisfying that urge. It could also help people adopt better habits while still keeping certain rituals. 

    For example, let’s say a person who typically orders pizza every Friday but wants to eat better or save money by removing that weekend-starting ritual. They could possibly benefit from “ordering” pizza through these fake food delivery apps. It will allow them to go through the motions and get that dopamine hit while they hit their fitness or financial goals.

    On the other hand, some argue using these dopamine sites won’t address certain harmful compulsive behaviors. They say that these apps and sites could just act as placebos and substitutes rather than truly address troubling issues.

    Whether an app or something like these dopamine sites can help or not, it is still important to learn, know, and discern how to best use the money you do have in real life.

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