Praising Irrational Exuberance
"Does a flourishing economy depend on delusion?" Virginia Postrel says the overly optimistic attitude of entrepreneurs is essential for a continually productive economy.
"The odds of any given venture succeeding are, of course, low. But it’s rational to invest $1 million in a business that will fail nine out of ten times, as long as the tenth time will earn least $10 million. Nye is talking about irrational bets: investing $1 million on a one in 50 shot of $10 million. An entrepreneurial culture encourages those crazy bets as well, and a few startups get lucky. We should, [economic historian John] Nye suggests, think of 'the entrepreneur as the valiant, but overoptimistic investor rather than the heroic seer.' Entrepreneurship is not, in this view, a rational risk calculation. It is, as critics of capitalism sometimes charge, a bit like gambling."
Swipe right to make the connections that could change your career.
Swipe right. Match. Meet over coffee or set up a call.
Is it "perverseness," the "death drive," or something else?
Eight-dimensional octonions may hold the clues to solve fundamental mysteries.
- Physicists discover complex numbers called octonions that work in 8 dimensions.
- The numbers have been found linked to fundamental forces of reality.
- Understanding octonions can lead to a new model of physics.
- It's an all-hands-on-deck moment in the arc of civilization.
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