Category Archives: Economics

In a recent entry, I provided a summary of Brian Caplan’s views (in his book The Case against Education) about the main evils of our contemporary education system. In a nutshell, the main problem is, in the first […]

Tides are more predictable than winds or sunshine. Then, why are not they already widely used as a source of renewable energy? The simple answer is that designing and building an ocean energy array is quite complex. This complexity has […]

It’s a pitty that Bryan Caplan’s extremely interesting book The Case Against Education: Why the Education System Is a Waste of Time and Money , published in 2018, has not deserved more careful attention in the public and permanent […]

Strategic decision is the object of study for Game Theory, a discipline that started officially with the book The Theory of Games and Economic Behavior, by John von Neumann and Oskar Morgenstern . For non-cooperative games, i.e., games in which […]

Here, I summarize the discussion on the normative differences between nudges and boosts presented in Sims and Müller, 2019 .
Behavioral Economics studies the systematic biases in economic decisions that occur because our cognitive processes are constrained and, thus, context-neutral […]

Given the choice between €500 and a chance to win either €0 or €1000 with equal probabilities, most people opt for the sure prize of €500, even if the expected amount of money is the same in both cases. In […]

In a recent article in the Journal of Economic Perspectives, three economists from the British Macroprudential Strategy and Support Division and one member of the Financial Policy committee of the Bank of England analyze whether macroprudential regulation could prevent […]

During the second half of the 80s, when no one knew those years would become the Soviet Union’s last, Mikhail Gorbachev attempted some economic reforms without much success. Less than one decade earlier, in 1978, Deng Xiaoping started a series […]

It is generally considered that equality of opportunities means equal access to education and health. When the society considers that some goods like school and vaccines must be consumed by everyone, economists define them as “merit goods”, which deserve a […]

There are two major impossibility theorems in social choice: Arrow’s theorem (1951) : the only system to aggregate individual preferences into social preferences (e.g., a voting mechanism) that satisfies the properties of transitivity, monotonicity and independence of irrelevant alternatives […]