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The high costs of data centers has limited the expansion of AI for now, creating an oligopoly market.

Compute Constraints and the New Economics of Scarcity in AI

AI is here and creating wonders, but it's not expanding as rapidly as many first predicted. The reason is significant cost and supply constraints, limiting AI data centers to only a handful of large firms. What are the economic implications of this AI bottleneck?...
4 min read
Autarkic: A Comprehensive Guide
Definitions Global economics Managing the economy

Autarkic: A Comprehensive Guide

Published on January 16, 2024

Illustration of a hand tapping an 'Update' button on a smartphone screen with app icons in the background.

The Principle of Substitution: How Browser-Based Services Are Outcompeting Application-Based Businesses

Published on January 16, 2024

Implicit vs. Explicit Costs
Definitions Business economics

Implicit vs. Explicit Costs

Published on January 14, 2024

Person typing on macbook with a screen in the background.
Business economics

The Rise of AI in Personal Assistance: A Study in Comparative Advantage

Published on January 13, 2024

Several parked cars at a car dealership in Japan.
Managing the economy

How Digital Approaches are Disrupting Brick-and-Mortar Businesses: The Case of Car Buying and Selling

Published on January 13, 2024

Photograph of the inside of a car dealership, with a red Mazda in the background and a desk in the foregroun
Market Failure

Market Failures in the Age of Product Complexity: Addressing Information Asymmetry

Published on January 12, 2024

The Economics of Consumer Consent: How Regulations Reshape Business Strategies

The Economics of Consumer Consent: How Regulations Reshape Business Strategies

Published on January 10, 2024

Quaternary Sector
Definitions Global economics

Quaternary Sector

Published on January 09, 2024

The Role of Privacy Tools in the Changing Landscape of E-Commerce

Published on January 04, 2024

Image of a man holding a phone with the robin hood app open
Business economics Competitive markets

Diminishing Marginal Returns: Case Study of Client Acquisition by Retail Trading Platforms

Published on January 03, 2024

Newer Posts
Page 46 of 167
Older Posts
We all have the same 24 hours in a day, meaning our attention is a valuable asset to advertisers!

Attention Markets and the Economics of Time Scarcity

Firms have only limited human attention spans to advertise to, creating attention markets that lead to rising advertising costs. As platforms capture more consumers' attention, what are the economic effects of potential monopolies on this attention?...
4 min read

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