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hyporational comments on Evaluability (And Cheap Holiday Shopping) - Less Wrong
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Of course- in large part because the target is smaller, and thus it signals much more precise knowledge about the recipient. If you don't have a strong ability to discern other people's preferences, go with expensive consumables, because that's a broader target and expectations are lower.
Isn't signalling knowledge about the recipient pretty much the whole point of giving presents? Otherwise we'd just give people cash.
You can signal various other things too like sophisticated taste or having spent time picking/creating the present etc.