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62 sats \ 3 replies \ @SimpleStacker 6 Aug \ parent \ on: Jeff Bezos’s Yacht: Driver of Economic Activity econ
Yeah I think that's a pretty fair assessment. They're more a description of what situations are strategically stable based on the incentives at play, rather than a description of what individual people actually do or how they think about it.
I don’t think there is a human alive that would think in terms of a mathematical model before purchasing something or deciding priorities to satisfy needs and desires. OK, yes, there are certain “market players” that will use mathematical models and algorithms to buy and sell on the controlled stock markets and futures exchanges, I must admit.
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Mmm, that's true but it's also true that people do behave in a way that can be mathematically modeled. For example, when prices go down people tend to buy more of a good, which can be modeled mathematically as a demand function.
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Again, you speak of aggregates not individual people. Individual people make the aggregates. Have you found any models that work each and every time they are applied to a situation? If you are using statistics, then you can categorically state that if A then B and be correct in every case.
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