Ready To Risk It All Part II, Continuous Processes

The dog days of summer are fast approaching. Even from my air-conditioned office cubicle, I can feel the temperature outside rising – and my productivity levels decreasing with each additional degree. But I’m looking forward to the heat for more reasons than just excuses to borrow my friend’s pool. As the dog days of summer approach, I literally see more dogs out and about when I go outside. As a dog-deprived graduate student, this is the time of year that I live for. In addition to creeping on the dogs of D.C., I am constantly obsessing over my friend’s dogs. Whenever I see my friends’ puppies, I’m always amazed at the dramatic amount of change that has occurred since I saw them last. It’s a truly incredible phenomenon how quickly puppies seem to grow when you only see them in discrete time intervals! Living with a pup that you interact with on the daily, however, you barely notice the change. Continue reading “Ready To Risk It All Part II, Continuous Processes”

Selena Gomez Makes $550,000 for Each Sponsored Instagram Post

If you mosey on over to Selena’s Instagram page, you’ll see that she is sporting a ton of Puma gear. According to E! News, she signed a two year deal worth over $30 million. Kim Kardashian is another all-star advertiser earning $500,000 per post. Cristiano Ronaldo carries a whopping 104 million followers and also cashes in at around $400,000 per sponsored post.

Continue reading “Selena Gomez Makes $550,000 for Each Sponsored Instagram Post”

Do Financial Regulations Decrease Financial Literacy?

Ask the average person about her smartphone, and the odds are better than even that she’ll be able to recite the make, model, and salient features such as battery life and camera quality. She may even be in a position to rank the phone relative to other handsets and to make a recommendation as to whether it offers good value for money. Continue reading “Do Financial Regulations Decrease Financial Literacy?”

Ready To Risk It All Part I, Options Pricing

Imagine what your life could be like if for any situation you could enjoy the upside without suffering any of the downside. Say you love the color yellow, but it totally washes out your skin tone. Or, perhaps you really want to Keep Up With The Kardashians but unfortunately there aren’t enough hours in the day to follow the entire family’s Instagram accounts. It seems like all choices we have in life have a downside, but what if I told you that in financial markets there are contracts with no downside? No, I’m not trying to sell you timeshares. I’m talking about options pricing. Continue reading “Ready To Risk It All Part I, Options Pricing”

Cake, To-Go Boxes, and Diminishing Marginal Returns

My friends are the worst! This past Memorial Day weekend, my three roommates decided to treat themselves to a trip to Founding Farmers and indulge in some dessert. Their decision was fairly spontaneous, which meant I already had previous plans. Determined to make me regret my choice, throughout the afternoon they sent me picture after picture of their desserts.  Continue reading “Cake, To-Go Boxes, and Diminishing Marginal Returns”

ReasonablEconomics Advice for Mother’s Day

By Kevin D. Gomez and Alex Kanode

Mother’s Day is around the corner…like, tomorrow. Some of y’all may be panicking as we speak, thinking about what to buy the mothers in your life. Maybe you’ve read a clever economist’s argument that the best gift is cash and you’re thinking to Venmo your mom some dough. Continue reading “ReasonablEconomics Advice for Mother’s Day”