Most of us at times get caught up in heated debates about economic policies and their broader social context. We need to do this for sure. But., it’s key to keep in mind that economics is just a decision making model at the individual level and a coordination system at a macro level. Good policies

Nudging is all the rage. Many countries now even have their own nudging units. Nudging can potentially play a role in good policy toward desirable ends, given our innate irrationality. However it is vital that people still have the freedom to make irrational decisions. Unfortunately, amid all the buzz, nudging is out of the gate

The central idea behind Causal Economics is that optimal decision making happens when costs and resulting benefits are tied together. This is a simplification similar to that of boiling Behavioral Economics down to the idea of Nudging (a form of Libertarian Paternalism). Going a step further, Causal Economics asserts that people are rewarded for their

CE is a unifying theory of economics because the other major models of economics can be derived from it at both a micro and macro level. At a micro level, major decision models, such as BE and EU, can be derived from CE through particular restrictions. Specifically, cost and benefit, both deliberate and uncertain are

Many of the predictions of Causal Economics center on the impact of consolidated power, because that is one of the main conditions that allows for decoupling, driving up B/C ratios for those with power and driving down B/C ratios for those without power. Economic freedom and economic consolidation are at opposite ends of the spectrum.

It’s commonplace to see increasing real GDP as a measure of improved utility in society. But it’s less common to imagine an even better scenario of increasing real GDP and deflation. In such a situation, real incomes are increasing in a strong and sustainable fashion, as we’ll show here. The word ‘deflation’ itself conjures up