The $120 Billion Idea Behind This Year’s Nobel Prize in Economics

(Bloomberg Businessweek) — You know that feeling of elation when you win an auction—say, a bidding war for a house—and how it’s immediately followed by that sinking feeling that you overpaid? That’s the winner’s curse. It’s a real thing. Once you stop to think, you realize there’s probably a good reason other people weren’t willing to pay as much as you did. By winning, you just lost.


Load Error

Understanding the winner’s curse, and how to avoid it, is part of the reason Stanford University economists Robert Wilson and Paul Milgrom won this year’s Nobel Prize in economics—formally called the Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel (PDF).

Wilson’s and Milgrom’s work is unusual in that it’s both theoretical and highly practical. The U.S. Federal Communications Commission raised more than $120 billion for taxpayers from 1994 through 2014 by selling off wireless frequencies using an auction

Read More

Central Asian horse riders played ball games 3,000 years ago


IMAGE: The area near the city of Turfan in northwest China.
view more 

Credit: (Picture: UZH)

Today, ball games are one of the most popular leisure activities in the world, an important form of mass entertainment and big business. But who invented balls, where and when? The oldest balls that are currently known about were made in Egypt about 4,500 years ago using linen. Central Americans have been playing ball games for at least 3,700 years, as evidenced through monumental ball courts made of stone and depictions of ball players. Their oldest balls were made of rubber. Until now, it was believed that ball games in Europe and Asia followed much later: In Greece about 2,500 years ago and in China about 300 years after that.

Eurasia’s oldest known balls

Researchers from the University of Zurich, together with German and Chinese researchers, have now examined in more detail three

Read More

Pigeon Family Market to Close After 40 Years in Business | Michigan News

By ROBERT CREENAN, Huron Daily Tribune

PIGEON, Mich. (AP) — After operating for 40 years, the Pigeon Family Market announced it will be closing at the end of the month.

The market announced its closure in a Facebook post on Oct. 1, which extended thanks to all the customers, vendors, employees and other people that have become family to them over the years.

Shirley Ashmore, the general manager for the market, told the Huron Daily Tribune that ever since the Meijer in Bad Axe opened, their sales have gone down.

“We think that during the winter, it is going to get worse,” Ashmore said.

The closure leaves the village of Pigeon without a grocery store to call its own, with residents having to travel outside of town to do their shopping.

Dennis Hug, the store owner who lives in the Harbor Springs-Petoskey area of Northern Michigan, has owned the store

Read More

Years after initial fanfare, Ranger Scientific ammo factory plan gets boost | Business

The saga surrounding a proposed manufacturing facility in West Virginia continues after all.

It was announced Thursday that Ranger Scientific — the high-grade ammunition company that has been trying to build a factory in the Kanawha Valley since 2016 — will receive a $7.5 million federal loan. The money is a Business and Industry guaranteed loan through the U.S. Department of Agriculture.

It will go toward purchasing land, renovations and equipment while also providing working capital. Phase 1 of the two-phase project — which company and government officials say will create 400 jobs — will cost $22 million and is slated to be finished in April 2021.

“This is a totally new opportunity for diversification,” said Kent Carper, president of the Kanawha County Commission. “This is the most significant new opportunity for the upper Kanawha Valley in a quarter of a century.”

Thursday’s announcement marks another chapter in a story

Read More

T-Mobile Business Customers Happiest in Wireless Four Years Running

What’s the news: For the fourth year in a row, T-Mobile topped the prestigious J.D. Power U.S. Business Wireless Satisfaction Study for businesses of all sizes — large enterprises, small/medium and very small businesses.

Why it matters: All business customers deserve to be as happy as T-Mobile’s business customers.

Who it’s for: Businesses of all sizes — from the 5-worker farm in rural America to the 100,000-employee multinational with people all over the country.

Not one, not two, not three, but FOUR years running. T-Mobile (NASDAQ: TMUS) today announced for four years in a row, businesses of all sizes have ranked the Un-carrier #1 in wireless satisfaction in the annual J.D. Power U.S. Business Wireless Satisfaction Study. T-Mobile also achieved the highest score across large enterprise and small/medium size businesses in ALL six study factors: performance and reliability, customer service, sales representatives and account executives, offerings and promotions, cost of

Read More

Why Peloton’s new ad campaign works better than last year’s

  • When Peloton released its holiday commercial last December, viewers cringed at its awkwardness and took to social media to ridicule the company.
  • Peloton took note and released a new ad campaign this week that features real riders ranging in body type, race, and location. A narrator explains “why they ride,” as the viewer sees the bike tucked into real homes.
  • Alixandra Barasch, an assistant professor of marketing at New York University’s Stern School of Business, breaks down why Peloton’s new campaign is so powerful, what the fitness brand learned from previous mistakes, and how other companies can apply these lessons to their branding.  
  • Visit Business Insider’s homepage for more stories.

When Peloton released its holiday commercial last December, in which a man gifts his wife a bike and she records a year’s worth of workouts, viewers cringed at its awkwardness and took to social media to ridicule the company. They

Read More

Central Park’s historic Loeb Boathouse has closed its doors after 66 years

  • Central Park landmark Loeb Boathouse has closed due to “unforeseeable business circumstances prompted by COVID-19.”
  • 163 staff members have been permanently laid off after being furloughed in March, according to a filing from the Department of Labor.
  • Loeb Boathouse underwent a $2.9 million renovation to its bar, dining room, and outdoor seating area in 2018.
  • The restaurant reportedly plans to reopen next spring, but there are no confirmed dates as of yet.

Central Park’s historic restaurant Loeb Boathouse has closed its doors after 66 years.

In a filing with the Department of Labor last month, the restaurant said it closed due to “unforeseeable business circumstances prompted by COVID-19,” as first reported by local publication The City.

The Loeb Boathouse is one of Central Park’s most recognizable landmarks, which welcomed millions of people each year and was renowned for its views overlooking the lake, an idyllic gem within the city.


Read More

NYC’s iconic Central Park Boathouse restaurant shutters after 66 years until 2021

A fixture of Central Park closed down as New York City businesses were hit hard by coronavirus restrictions, the Loeb Central Park Boathouse owner told “Cavuto: Coast to Coast.”

“We’ve been closed since the pandemic began in March and even though restaurants are able to reopen in the city, the business just isn’t there for the Boathouse,” Dean Poll told host Neil Cavuto.


The owner of the Boathouse, which opened in 1954 and has been featured in films such as “When Harry Met Sally,” explained that they rely heavily on tourists and park-goers, as well as weddings and corporate events.

“All of that has disappeared.” Poll said.

“There’s just not enough business in the park to sustain

Read More

Bartell Drugs, a local, family-owned business for 130 years, to be sold to Rite Aid for $95 million

After months of pandemic-related financial strain and years of uncertainty over its future, Bartell Drugs, one of the oldest companies in Washington state and one of the most familiar names in the Seattle business community, is being sold.

The 67-store regional drugstore chain, which has been owned by the same family since its founding in Seattle’s Central District in 1890, will be acquired by Rite Aid for $95 million, the companies announced Wednesday. 

“We felt that this was the only answer,” said George D. Bartell, co-owner and chairman of the company his grandfather, George H. Bartell Sr., founded 130 years ago. “It was getting more difficult for regional operators to compete in the market.”

Pennsylvania-based Rite Aid, which has about 2,500 stores in 19 states, including 69 in and around Seattle, will keep the Bartell name on the stores. It disclosed no plans to close stores or cut any of

Read More

Business Travel Demand Won’t Bounce Back In 2021, And Maybe Not For Years. That Will Be Devastating For Airlines.

Even if a vaccine for Covid-19 becomes widely available – and widely used – around the globe, and if the very onerous government restrictions on international travel largely disappear, airlines still will continue to struggle with extraordinarily weak demand for business travel through the end of 2021, and likely beyond.

And that could be devastating for already cash-depleted airlines that are guaranteed this year to report losses that, even for an industry with a long history of red ink, will be record-shattering.

The economic importance of business travel for all conventional airlines and even for most

Read More