Teaching Economics with Media
The Dunning-Kruger effect is an interesting psychological theory that looks at why novices tend to overrate their abilities and even rate themselves on par with experts. This mindset has real implications for decision making because overconfidence made lead us to make suboptimal choices.
Local municipalities often dump significant resources into funding sports stadiums in the hopes of attracting economic benefits from additional tourism. Despite criticism from nearly every economist, economic impact reports are designed and pitched to citizens as the justification for subsidizing sports teams. In this interview, JC Bradbury discusses the counterfactual of tourists’ true impact and how these stadiums continue to be funded.
If you’d like more to read more about sports stadiums and funding, check out Field of Schemes.