Economics | Business - The Lancelot Lounge

The Paradox of Comparative Advantage: Specialization, Market Power, and the Threat of Monopoly

By Edward Franklin April 8, 2025Economics | BusinessNo Comments

David Ricardo's theory of comparative advantage is a cornerstone of international trade. It illuminates how even if one entity is more efficient at producing everything (absolute advantage), specialization in areas…

Should the Government Subsidize Profitable Companies? A Question of Efficiency and Equity

By Edward Franklin April 8, 2025Economics | BusinessNo Comments

The topic of government subsidies is contentious. While subsidies can play a crucial role in supporting essential industries or promoting innovation, whether governments should subsidize already profitable companies raises serious…

The Illusion of Equality: Proportionality vs. Impact in Taxation

By Edward Franklin March 28, 2025Economics | Business

We often hear about tax rates and percentages, but do we understand their real-world impact? Even when two people pay the same tax percentage, the effect on their lives can…

The Customer Service Myth: Why Price and Quality Trump “Being Nice”

By Edward Franklin March 16, 2025Economics | Business, Random Thoughts | Theories

We've all heard the mantra: "Customer service is king!" Entire industries are built on the promise of exceptional customer experiences. But let's be honest: How much does customer service matter…

Deflation in a World of Abundance: Rethinking the Role of Money in a Future of Near-Zero Marginal Cost

By Edward Franklin March 12, 2025Economics | Business, Politics | Society

In traditional economic theory, deflation is often viewed as a negative phenomenon. It's associated with falling prices, decreased consumer spending, and a potential economic downturn. However, this perspective is primarily…

The Illusion of Efficiency: Why Privatizing Prisons May Cost Us More Than We Think

By Edward Franklin March 10, 2025Economics | Business, Politics | Society

When governments outsource essential services like prisons to private companies, the promise is often efficiency and cost savings. The argument goes that private companies are driven by profit, so they…

Tit for Tat and the Triumph of Cooperation: Why Cooperatives Are Game Theory’s Winning Strategy

By Edward Franklin February 18, 2025Economics | Business, Politics | Society

Game theory, the study of strategic decision-making, offers a powerful lens through which to analyze the dynamics of cooperation and competition. One of its most intriguing findings is the surprising…

More Jobs Does not Always Mean More Solutions: Why We Need a New Definition of “Job”

By Edward Franklin February 18, 2025Economics | Business

The economy added 250,000 jobs last month!" These headlines often dominate news cycles, presented as a sign of economic health and prosperity. But what do these numbers truly represent? Are…

The Paradox of Insurance Competition: Why a Larger Risk Pool is Key

By Edward Franklin February 9, 2025Economics | Business

The conventional wisdom of economics suggests that competition drives down prices and benefits consumers. However, the insurance industry presents a unique paradox: while seemingly beneficial, competition can counterproductively affect effective…

The Economic Cost of Anxiety: A Silent Drain on Society’s Potential

By Edward Franklin November 20, 2024Economics | Business, Politics | Society

We often discuss anxiety and stress in terms of individual suffering, focusing on the emotional toll and impact on personal well-being. But what if we broadened the lens and examined…