The Awesome Science of Chinonomics

Reality is what you perceive it to be. That much is obvious. We were bred this way by nature, and it is thanks to this ability to react to our individually perceived reality  that we are where we are as a species, for better or worse. That we are social animals is no surprise, either. We pick teams , pledge allegiances to like-minded groups, mimic the behavior of other people, and fall for mental shortcuts  that inform our decisions ( many times to our own detriment ). That social networks exploit these bad habits of ours is also exceedingly clear by now. But what about Governments? They don't necessarily need armies of patriotic trolls hawking dissident Facebook users to shape the collective discourse. Forget for now about the fact that Facebook is literally teaching the authoritarian governments of institutionally weak countries how to harness the evil powers of the network to sharpen their manipulation skills and their grip on society.    All Governments ne...

If we could plot "global anxiety over the end of times" (the end of human times, that is) on a time series graph, I would say that now we would be at --or close to-- an all-time high. Typhoon Yolanda's epic size and strength is indeed a reminder of how insignificant we are, which definitely does not help to calm that feeling of impending doom. End-of-the-world anxiety takes different forms. Economically speaking, the specter  deflation  is one of them. The New Normal , or the idea that we have reached a point from whence we will never achieve the growth rates of yesteryear is another. This idea, defined as a statistical regime change, can also be described as an inflection point, or the point at which the speed of growth decelerates going forward. In other words, the point at which the second derivative of GDP turns negative. The New Normal : The second derivative (the slope's rate of change) turns negative at L 1 The reason this inflection point occur...