Wow. Are you okay with the misallocation of £16m of funds? Or simply a huge Wyclef Jean fan?

I just don’t see this changing. There is zero political will within Labour to fund defence. Milibandism, the dominant ideology within the party, prioritises “climate justice” (Net Zero social justice). Defence, in their view, is a misallocation of resources. They will also see this as an agenda being forced on them by Trump. Starmer isn’t focused and lacks authority. Sensible people like Carns, Healey and Lord Glasman are minority voices, sadly. The whole thing is a complete mess.

I’m curious on the calculus that SNAP somehow represents a greater misallocation of tax funds than corporate subsidies. I used SpaceX/Tesla as an example, but if you think $400/year per taxpayer to feed people is high, i’m curious why you’re not more outraged by the $950/year that corporate subsidies cost the average taxpayer. I think you answered it before though. It’s an acceptable use of tax funds if it serves your self-interest, it’s unacceptable if it benefits someone other than yourself (SNAP bad, but caveat for Tesla subsidies because you personally made money on Tesla).

Great Question and one I have. A follow up I have is how could it not be cyclical and when in history has it not been structural. As @edzitron suggests this could be the largest misallocation of capital in history. 🤔😬🤓

Uai, não presta pro que se propõe e é propagandeado, não vai ser nada revolucionário Misallocation, o resultado é "o mesmo" de botar mais gente em cursos tradicionais (e ainda ganha gente mais capacitada tecnicamente pra resolver problemas realmente complexos e não coisa de quem ganha 10k)

I suspect that Female Intellect is far more broad-ly perceived as a misallocation of resources than as a threat :).

My new piece in @ForeignAffairs explains why it is so difficult for the Chinese government to stop misallocation of resources and wasteful spending, how waste in China differs from waste in democracies, and what it means for China’s development.

During the early part of the ICE car maket many participants went bankrupt too. EVs are more reliable (fewer parts), faster and quieter too. The government should stop interfering in the market which often leads to misallocation capital, companies basing their financial model on government targets. Let EVs and ICE cars compete and that will drive both innovation and price competition.

4/6🧵 INCENTIVE TRAP How tokens create communities that destroy products Tokens were supposed to align us. Instead, they created the biggest misallocation of attention in tech. Launch a token before utility and you get speculators, not users. Farmers, not builders. Extractors, not contributors. Speculation replaces utility. Price becomes the product. And the moment incentives dry up, your “community” vanishes. You didn’t build a community. You rented one. And the landlord just raised prices. So how do you build different? 👇

The Kremlin is broke: it has put much of the economy on a wartime footing with civilian production suffering. It raised taxes and wants to borrow more, but Nabiullina has kept interest rates high because she is very worried about inflation (and so is the Kremlin, because real inflation would instantly end the fiction of the war as a successful special military operation that does not touch ordinary Russians, something Putin promised back in 2022). They lowered the rate a bit, but businesses are suffering and internal debt has soared anyway. The Kremlin can confiscate the savings held in banks but so far has not done so. So how do you finance a ruinous war while appearing to keep the books? You have the Finance Ministry sell government bonds to the banks, which cannot say no to the Kremlin, even though those bonds are backed by nothing but a tax base the war keeps shrinking and vague promises to repay unclear from exactly what magical assets or investments (especially if the war ends and military production craters). Then you take that money and hand it to regional governments as “zero-interest loans,” which show up on your books as credits rather than spending — never mind that everyone knows the regions will never repay a ruble, so they are grants in everything but name. The regions spend it on the war. It is money printing the long way around, relabeled as prudent accounting. Prices will rise. And people will react with the familiar sequence: doubts in the value of the ruble, which make contracts uncertain and difficult to write in anything but the very short term, people buying physical objects because cash value is in doubt, no savings but immediate spending for same reason, which means accelerated inflation, prices failing to reflect market realities and so ceasing to function as signals to firms, which means further misallocation of resources, and so on. Unchecked, you end up with hyperinflation and financial collapse. Nabiullina has been keeping her finger in the hole of that dam wall and has had the Kremlin firmly behind her. But she’s come under increasing pressure and we have seen some cracks starting to show: after all Putin does not like the business discontent bubbling up through occasional outbursts in the Duma. The whole well camouflaged scheme does not sound like something the Kremlin can sustain indefinitely, no matter how pretty they make the accounting books look (while hiding the true cost of the war deliberately by keeping the spending secret).

Market mechanism: Information disorders (especially rumors on social platforms) correlate with investor misallocation and excess volatility. When people can’t easily distinguish source quality or see the full context, capital flows to noise instead of signal. Primary video caption from established outlets raises the floor. It lets you hear the actual statement, judge delivery, and then apply your own analysis instead of reacting to someone else’s headline framing.

It's a bad idea to have entrepeneurs in sectors whose entire interest is the promotion of vice or misallocation, and if it falls under the purview of SOEs, at least there are other government interests to consider.

The most catastrophic misallocation of capital in history.

Plus fascinating WIP on land misallocation, customs, decentralization, and more - check out his work! raulduarte.org/

Claude: Start by separating the buckets. Most of what we call space spending is really Earth infrastructure wearing a rocket. Observation, communications, navigation, planetary defense. That slice earns its keep and should be funded as utility, not adventure. The argument isn’t against it. The real comparison is between the molecular frontier and the off-planet frontier: nanotech versus the part of space that is genuinely about leaving, exploring, and settling. The allocation logic. Return to humanity scales with three things: how broadly a technology touches lives, how likely it is to work, and how soon the benefit lands. Nanotech wins on all three. It touches water, energy, health, food, and climate. It is high-probability and near-term. Off-planet ambition is narrow, speculative, and measured in generations. On any honest expected-value basis, the molecular frontier dominates by an order of magnitude. The ratio. For every dollar we put into venturing off the planet, we should be putting at least ten into building the world up from atoms. Roughly 90/10 in favor of the molecular frontier, with Earth-serving space carved out and funded separately as infrastructure. Today the ratio runs the other way. We pour capital and imagination into escape while starving the science that makes escape unnecessary. That isn’t ambition. It’s misallocation dressed as vision. The correction. Ten to one, downward and inward. We fund the atom, not the exodus. The cheapest planet to make habitable is the one we already have, and the work is done one atom at a time.

Misallocation of capital due to market interference and money printing.

Web3 projects are still burning millions hiring mega KOLs with six figure follower counts,convinced it is the holy grail of marketing It is easily the biggest misallocation of capital in crypto Most massive accounts are just shouting into an echo chamber of extraction bots and other KOLs They drop the same templated threads, pocket the stables, and move on. Zero real skin in the game. Plot twist:The mega-KOL meta is dead. The real marketing alpha belongs to decentralized micro influence. An account with 400 dedicated followers writing an original,razor sharp perspective drives more authentic conversion than a 100k follower account copy pasting generic noise. We spent years measuring raw reach when we should have been measuring raw substance. The infrastructure is finally catching up to this reality. @RallyOnChain is flipping the script by completely removing follower count gatekeeping. They use AI to score content on actual originality and technical quality,distributing rewards based on merit rather than clout. If your entire launch strategy relies on paying giant accounts to repeat your talking points, you are not building a network. You are just buying a billboard that the entire timeline has already muted Which micro-accounts in your feed are dropping better alpha than the top-tier KOLs right now?

A DC-Baltimore Olympic pick is as much a misallocation of scarce resources as DJT’s DC building projects.