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Although increasingly popular, AI still makes serious mistakes...which could cost companies big bucks in damages.

The Economics of AI Hallucinations and Error Costs

To save money on labor, many companies want to use AI to automate basic office functions, from customer service to research. However, AI is prone to making mistakes that are confidently presented as accurate facts. What are the economic implications of unchecked AI use by companies?...
5 min read
Chinese futuristic skyscraper
Behavioural economics Business economics Competitive markets

Debt Sustainability and Intertemporal Budget Constraints: Development Traps in Belt and Road Financing

Published on March 08, 2026

5 Stacks of pennies and other coins in ascending order from left to right.
Behavioural economics Business economics Competitive markets

Credit Rationing and Information Asymmetry: The Economics Behind Online Micro-Loans

Published on March 02, 2026

MacBook with wireframe designs on the screen.
Behavioural economics Business economics Competitive markets

Incomplete Contracts and Complex Requirements: Contract Theory and the Persistence of Bespoke Website Design Services

Published on February 20, 2026

3D Rendered image of a computer with emblems floating around saying PHP, HTML, JS & CSS
Behavioural economics Business economics Competitive markets

Comparative Advantage and Specialization in Execution: Ricardo’s Law Applied to SaaS Development

Published on February 03, 2026

Cell phone with black background and white text.
Behavioural economics Business economics Competitive markets

Bounded Rationality and Behavioral Frictions: Why Simple Digital Tools Outcompete “Built-In” Features

Published on January 30, 2026

A modern industrial style office meeting space with floor to ceiling windows and concrete floors and ceilings offset with a long wooden table and Scandinavian style pink chairs
Behavioural economics Business economics Information Failure

The Economics of Executive Tables: Signalling Theory, Status Goods, and Corporate Identity

Published on June 24, 2025

An assortment of 7 presents wrapped in various holiday wrapping paper like red with white string, brown paper and red ribbons, and white paper with gold ribbons.
Behavioural economics Market Failure Information Failure

Understanding Hyperbolic Discounting and Spending Habits During the Holidays

Published on June 18, 2025

Cyber-Security
Behavioural economics

Password Security Economics and Risk Aversion

Published on June 16, 2025

Image of Dubai skyline with clouds hanging low.
Behavioural economics Business economics Competitive markets

Information Asymmetry and the Rise of Expat-Focused Real Estate Brokerages

Published on June 13, 2025

Two people shaking hands in a business setting, symbolizing trust, agreement, and cooperation between parties.
Business economics Market Failure Behavioural economics

Information Economics and Signaling: Why Referral Marketing Works in Markets with Imperfect Information

Published on June 05, 2025

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Older Posts
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Beyond the Chips: Why Cables, Connectors and Power Networks Matter to AI Growth

Artificial intelligence is often presented as a race for faster processors and more capable software. Yet every large AI system also depends...
3 min read

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