Opportunity Cost
The value of the best alternative you give up when you choose.
Read related storyConcepts
The durable vocabulary behind the stories — searchable ideas you can return to.
Economics
Supply & Demand
Prices move when scarcity and desire push against each other.
Inflation
When the same money buys less over time.
Scarcity
Limited resources force trade-offs — real or manufactured.
Consumer Surplus
The gap between what you'd pay and what you actually pay.
Moral Hazard
Protected from downside, people take riskier actions.
Adverse Selection
Hidden information tilts who joins a market — and why.
Lemon Market
When buyers can't spot quality, bad products drive out good ones.
Psychology
Anchoring
The first number you see quietly sets the ruler for judgment.
Read related storyLoss Aversion
Losses sting more than equivalent gains please.
Read related storySocial Proof
Other people's choices become evidence for your own.
Read related storyFOMO
Fear of missing out turns urgency into a decision shortcut.
Confirmation Bias
We notice evidence that agrees with what we already believe.
Sunk Cost Fallacy
Past investment keeps us in choices that no longer make sense.
Finance
Compound Interest
Returns earn returns — time becomes the multiplier.
Diversification
Spreading risk so one failure doesn't define the outcome.
Leverage
Borrowed capital amplifies gains — and losses.
Dollar-Cost Averaging
Investing on a schedule to reduce timing risk.