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Rethinking Human Behavior in Economics: Insights from Thaler and Imas

Originally Published 2 months ago — by NPR

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Source: NPR

The Winner's Curse occurs when the winners of auctions or bidding wars tend to overpay and end up paying more than the item's worth, a phenomenon observed across various markets and domains. Richard Thaler, a pioneer in behavioral economics, highlights how irrational bidding behavior leads to this curse and offers advice to avoid it, emphasizing cautious bidding especially in competitive environments with many bidders.

The Shift from Neoliberalism to a New Capitalist Era

Originally Published 2 months ago — by Jacobin

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Source: Jacobin

Branko Milanovic discusses the decline of neoliberal globalization, the rise of China, the emergence of a new global elite, and the shift towards national market liberalism, highlighting the increased inequality, geopolitical tensions, and societal discontent that may lead to further instability, all within a framework of long-term observable trends and critical analysis of capitalism's moral shortcomings.

Navigating the AI Bubble: Risks, Rewards, and Market Insights

Originally Published 2 months ago — by Stratechery by Ben Thompson

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Source: Stratechery by Ben Thompson

The article discusses the concept of bubbles, particularly in the context of the AI industry, highlighting how bubbles, despite their risks, can drive significant technological and infrastructural progress by enabling large-scale investments and innovation, as seen in past revolutions like the internet and industrialization. It emphasizes that current AI investments, especially in power and chip manufacturing, could lead to long-term benefits, even if the bubble eventually pops, and advocates for viewing bubbles as catalysts for societal advancement rather than solely as financial risks.

Used EV Prices Drop Faster Than Gas Cars in 2025

Originally Published 2 months ago — by Hacker News

The faster depreciation of EVs compared to gas cars is largely due to rapid technological advancements making older models less desirable, coupled with market factors like subsidies and high initial prices. While EVs lose value quickly, this trend may reflect ongoing innovation rather than lack of demand, and improvements in battery technology and new models suggest the depreciation rate could stabilize over time.

Nobel Prize Highlights the Role of Innovation and Technology in Economic Growth

Originally Published 2 months ago — by NPR

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Source: NPR

Joel Mokyr was awarded the 2025 Nobel Prize in Economics for his research on how science, technology, and the willingness of society to adopt and implement innovations—especially in Britain—sparked the Industrial Revolution and sustained economic growth through creative destruction, emphasizing the importance of technological progress and adaptable institutions for future growth.

Trio Awarded Nobel in Economics for Innovation and Growth Research

Originally Published 3 months ago — by Reuters

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Source: Reuters

The 2025 Nobel Economics Prize was awarded to Joel Mokyr, Philippe Aghion, and Peter Howitt for their work on how innovation and 'creative destruction' drive economic growth, emphasizing the importance of technological progress and the need for policies that support sustained growth, with Aghion urging Europe to learn from the U.S. and China.

Nobel Prize in Economics Awarded for Innovation and Economic Growth Research

Originally Published 3 months ago — by NBC News

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Source: NBC News

Joel Mokyr, Philippe Aghion, and Peter Howitt received the Nobel Memorial Prize in Economics for their work explaining how innovation drives economic growth through mechanisms like creative destruction, emphasizing the importance of understanding and maintaining these processes to prevent stagnation.