Publications: Notes at the Margin

Optionality: Twenty-First Century Economic Theory and Practice vs. Nineteenth-Century Thinking (June 17, 2013)

 

Economic theory has been revolutionized over the last thirty years. Many—if not most—of the approaches applied to economic problems three decades ago are now obsolete at best and just plain wrong at the worst. Firms, governments, and practitioners who refuse to accept this could face financial ruin. The twenty-first century thinking of US refiners recognizes that circumstances change daily. To maximize profits, these firms need to remain flexible enough to identify and take the best options as they appear. Nineteenth-century thinkers visualize the oil business in a much simpler, more rigid way. The report examines the implications of twenty-first century thinking for the oil market and for US foreign policy.

 

To request subscription information for Notes at the Margin, please Contact Us or send us an Information Request.