Back to episode — Episode 1815 Scott Adams - The January 6 Hearings Have Cleared Trump. Will News Report It That Way?
Context —
umes a small range of change. Economics assumes that the world changes at a somewhat predictable regular pace or at least is the same as it was the last 10 years. Right? Maybe modern day has changed faster than old days but if the last 10 years would be a pretty good proxy for change. So everything that you know about economics, every common assumption, is assume that the base of all of our assump…
← Previous segment →here, still employs about the same number of people. But on top of that, because it was so hard to go anywhere during the pandemic, the food delivery business exploded. So now you have the entire grocery industry just the way it was but on top of it you have what I think will be the long-term replacement industry, which is the food comes to you. Do you buy it? So that would be an explanation of why things could be falling apart. We could have recession, inflation, we could have supply chain problems, we could have every problem that you're seeing. But at the same time we're in this weird situation where the pandemic said wait, everything you're doing is up. You better start putting the new plan in place right away. And then we did. We did.
So at least part of it I think is the rapid acceleration of the baseline world. What do you think? Will anybody accept that and will you nominate me for the Nobel for economics? Do I have to do some math to get that Nobel? I want the Nobel.
I already invented, by the way — how many of you know I invented the concept of the confusopoly which is now standard part of economic thought? How many of you knew that I'm actually part of the economic literature now? A confusopoly is a word I invented years ago and it refers to the fact that businesses such as let's say cell phone companies and insurance companies, banks to some extent, lots of businesses, the reason that they don't need to compete with each other is that they've made their products too complicated for you to know who's doing a better job.
Imagine going to get your cell phone. If you knew for sure which was the better deal you would just walk in and get the better deal because cell phone coverage is kind of like every other cell phone coverage. But you don't. When you go to buy a cell phone it's like well this one has a plan but this one has rollover minutes but this one I
Context —
can add a family member. You have no way to compare it. That's a confusopoly. The way economics was supposed to work is that the free market would drive all the weak competitors out of business and eventually you'd have one strong competitor. But that's not happening. You have lots of competition in insurance and everything. And the way they compete is they confuse the consumer so the consumer ca…
Next segment → →