This 'fix' for economic theory changes everything from gambles to Ponzi schemes
Monday, December 2, 2019 - 11:10
in Mathematics & Economics
Whether we decide to take out that insurance policy, buy Bitcoin, or switch jobs, many economic decisions boil down to a fundamental gamble about how to maximize our wealth over time. How we understand these decisions is the subject of a new perspective piece in Nature Physics that aims to correct a foundational mistake in economic theory.