thank you!
20.02.2025 21:21
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thank you!
All roads lead to dynamic pricing.
theodiamandis.com/blog/2025/pr...
(rip nyc congestion pricing)
bsky.app/profile/tjd....
Any attempt to plan an economy inevitably lands on these as a coordination tool.
Politics dictate how these prices (and each participant’s objective) are set: in a decentralized or centralized way.
In fact, they're the most efficient communication system.
conservancy.umn.edu/items/6d545b...
Prices are a communication system that links supply and demand. Politics are irrelevant.
In short: optimally planning the economy is the same as optimally setting prices and then letting participants make their own decisions.
(See the second theorem of welfare economics.)
en.wikipedia.org/wiki/Fundame...
Kantorovich, of course, couldn't call these prices (the USSR had gulags), but these ideas continued to appear in economic planning problems.
In the west, these dual variables were called "shadow prices," since they measure the marginal cost (or benefit) changing a constraint has on the optimization problem objective.
Kantorovich developed linear programming in the 1930's to centrally plan the Soviet economy. His solution method relied on dual variables ("resolving multipliers"), which measure the sensitivity of each constraint.
Do Marxists ultimately invent surge pricing?
Kantorovich's efforts to plan an economy quickly led him to dynamic pricing for resource allocation.
theodiamandis.com/blog/2025/pr...
I've thought about this every day for the past week
Great visualization of the impact at www.congestion-pricing-tracker.com
Congrats to NYC on a week of congestion pricing. Now let's make the prices dynamic.
theodiamandis.com/blog/2025/dy...
"game theory" is insane because it appears to be one of the most legitimately dangerous fields with the potential to gigafry your brain but is exclusively taken by literal turbonormies who unironically want to like "find a good strategy for life" and basically get oneshotted by it
Maybe the most interesting DeFi research in recent years
Everyone on the X is too distracted with immigration, so I’m giving a sneak peek of some research here
Decentralized Perpetuals have long been the dream but they’ve been too capital inefficient
Many advances pushed DEX-CEX market share to >6% — but how are how are they related?
We answer this!
So... who's building RedSky?
Why solve problems when you can just virtue signal? Less effort.
Food for thought:
www.instructables.com/Vacuum-Infus...
Open protocols are good
And anyone can build their own Bluesky client on top of the (open) AT Protocol... They even have docs on how to do it!
docs.bsky.app/docs/starter...
low key jealous
Any convex function can be used to construct a DSIC auction. Convexico expanding to new markets soon!
h/t @lmao.bsky.social
The DTCC is an incredible piece of financial infrastructure
Yup! In reality, I find both the Econ-CS and optimization approaches super useful.
Summary of most academic talks I give:
Everything else comes from more abundant energy. (graph from Ian Morris' The Measure of Civilization)
Makes me miss living on the west coast