Did “animal spirits” mess up the economy?

Could “animal spirits” explain the unpredictability of economies and the emergence of economic bubbles? Economists George A. Akerlof and Robert J. Shiller believe so, as they explain in their recent book Animal Spirits: How Human Psychology Drives the Economy, and Why It Matters for Global Capitalism. Their use of the term “animal spirits” does not [...]

5-Euro cardboard solar cooker could drastically reduce wood fires

On April 9, 2009, Forum for the Future announced that it has awarded a $75,000 prize to Kyoto Energy for its Kyoto Box, a cardboard solar cooker designed for households in developing lands. The foil-lined cooker can be made for only 5 Euros and can boil water as a substitute for woodburning. Wood fires are [...]

Would they really hack the planet to sustain economic growth?

President Obama’s science advisor John Holdren tells the Associated Press that he has brought up geoengineering as a possible alternative in the fight against climate change in discussions with Cabinet-level U.S. officials, as well as with heads of agencies such as NASA and the Environmental Protection Agency (see AP’s article “Obama looking at cooling air [...]

Do happy faces cause dumb investments?

Could an investor be prompted to make a more risky financial decision when exposed to positive, optimistic stimuli, such as a smile on the face of someone recommending or selling an investment? That’s the implication of research by Julie L. Hall, a doctoral student in personality and social psychology in the Cognitive Science & Cognitive [...]

The “Tulip Mania” Economic Bubble: Source of a Myth?

One often-cited historical example of an economic bubble is the “Tulip Mania” phenomenon of the 1600s, famous especially for the problems it created in Holland. The story goes that in the 16th century, tulips were introduced to Europe from Turkey andover time  become the object of a speculative bubble that collapsed in 1637, ruining many [...]