Sublime

It took only a couple of weeks of working for Sam before Caroline Ellison called her mother and sobbed into the phone that she’d just made the biggest mistake of her life. She’d first met Sam at Jane Street, in the summer before her senior year at Stanford, after he’d been assigned to teach her class of interns how to trade. “I was kind of, like, t

Some economists are already working on that. They are using this brain-imaging data to support a new political philosophy known as asymmetric paternalism. That's a fancy name for a simple idea: creating policies and incentives that help people triumph over their irrational impulses and make better, more prudent decisions. Shlomo Benartzi and Richar

Look at poor Frank, a contestant on the Dutch version of Deal or No Deal. He gets off to an unlucky start by immediately eliminating some of the most lucrative briefcases. After six rounds, Frank has only one valuable briefcase left, worth five hundred thousand euros. The Banker offers him #102,006, about 75 percent of a perfectly fair offer. Frank

unbundled implementation is what draws the most competition, both from below and (more recently)

The importance of thinking on the margin did not become commonplace in economics until 1871, when marginal thinking was simultaneously described by three economists: William Stanley Jevons, Carl Menger, and Leon Walras. Economists refer to the “marginal revolution” to explain this transformation in economic thought.

One is the neoclassical rational-choice-equilibrium argument that markets automatically come to the Pareto optimal equilibrium for society. This was Ken Arrow and Debreu’s great work. The second is more out of the Hayekian tradition, that markets are efficient at processing distributed information to help coordinate activity in the economy. But bot