Gyaan
Incentive Theory – A Primer
Incentive theory is primarily a psychological term, explaining the relation between motivation and behavior of the individual, as shaped by profitable intent.
Let me explain.
The heart of economics deals with incentives. Incentives shape the behavior of an individual. These incentives need not necessarily be monetary. They can be non-material forms like love and respect among others. [...]
Signaling Theory – An Introduction
Signaling, as per Wiki, is defined as
In economics, more precisely in contract theory, signaling is the idea that one party (termed the agent) conveys some meaningful information about itself to another party (the principal).
(Advanced economics students might want to classify this under behavioral economics).
Back in 1974, Nobel laureate Michael Spence introduced the notion of signaling in economic thinking. According to [...]
AIDA in Relationships
So…lately, I have been in an overdrive of thoughts.
As I was walking down one of the aisles in Wal-Mart the other day, I noticed a wide range of cornflakes – some new brands placed alongside the older ones. This led me to think about the Marketing Management course that I had studied in my MBA, [...]
Quantum Relationships
I was talking to my friend the other day when he mentioned that he was in a ‘proxy relationship’. On enquiring further on this inter-galactic phrase, he explained that he didn’t know whether ‘he was in love’ or ‘he was just friends’ with this girl [which actually meant that he is interested but is shit [...]
Know-brainer : No-brainer – Series Part 3
This Guru-Shishya series started here.
1) Guruji, welcome back after a long time. I trust your vacation went very well. I had a few fundamental questions regarding inflation while you were out on vacation. You had mentioned in this post that inflation would go down to zero – and miraculously it did. And yet the prices [...]
Preview – 2009
One phrase to sum it all – ‘Hold tight, brave the storm’
Now that we are done with the excitement and enthusiasm of ushering in the New Year and all that, let’s look at what 2009 has in store for us.
With the hypothesis of ‘data doesn’t lie’, let’s look at some of the news across the [...]
Kiran’s Hierarchy of ‘Strategic Nonsense’
A few years ago, I was taught a theory which had revolutionized the field of behavioral sciences back then. It was called the Maslow’s hierarchy of needs. Abraham Maslow developed a model in which basic, low-level needs such as physiological requirements and safety must be satisfied before higher-level needs such as self-fulfillment are pursued. In [...]
Choice – A Catch-22 Situation
A long due post. I was trying to do justice to the topic for quite some time now – seeking an answer to this Catch-22 situation, but still can’t. The following is just a series of thoughts, for which necessarily I have to behave as an economist – 50% on one hand and 50% on [...]
Rational vs Rationalizing!
Haven’t we heard the statement – Man is a Rational animal – a million times before. Of the many types of animal he is – emotional, social etc., the ‘Rational’ argument is the most widely accepted one and probably the most effective one to put forth in this irrational chaotic world. The argument helps and [...]
Mediocrity!
It is a tradition in India to start of any new venture with a happy beginning. So, here I am, blogging on my new weblog on one of my favorite peeves – Mediocrity. Before I even delve into my hatred towards ‘Mediocrity’ as such, let us have a look at the dictionary meaning (courtesy Webster) [...]
