Taking at least one or two economics or business courses should be mandatory. That way I’d hear fewer business ideas that start with, “It’s like Facebook, only better.” One of the first lessons of economics is the importance of competition. Specifically, that if you try to do what everyone else is doing, you’ll probably fail. […]
Don’t Forget Sunk Costs, Stupid!
People are normally fairly intelligent. Although there are many exceptions, people tend to make rational decisions. However, there are some decisions that most people get wrong (including me). There is a whole field of psychology devoted to these non-random acts of stupidity, known as cognitive biases. I’ve always found cognitive biases interesting, since understanding them […]