Comment on It's barely a science.
panda_abyss@lemmy.ca 17 hours ago
Economics brings the spherical cow issue to its logical extreme with “efficient markets”
Comment on It's barely a science.
panda_abyss@lemmy.ca 17 hours ago
Economics brings the spherical cow issue to its logical extreme with “efficient markets”
ayyy@sh.itjust.works 12 hours ago
If markets are driven by “rational actors” then why is advertising a trillion dollar industry?
gandalf_der_12te@discuss.tchncs.de 1 hour ago
I think a mainstream way of seeing things is that there’s rational agents and non-rational agents, and they behave differently.
I.e. a lot of economy discusses how a rational agent would behave. But economic schools also recognize that not every human is a rational agent, and that’s what advertisement is for. Basically, advertisement is a way to part fools and their money, i.e. give the money to more rational people instead. This is also partially justified with the philosophy that the world would become a better place if all the money (and therefore power) was in the hand of rational people.
Natanael@infosec.pub 10 hours ago
They’re just contributing to perfect information, or, uh…