Geek's Guide to the Galaxy - A Science Fiction Podcast

61. Economist Paul Krugman / Economics in Science Fiction (with Sarah Brand)

4 snips
May 30, 2012
Paul Krugman, Nobel-winning economist and sci-fi fan who wrote an intro to Foundation, and Sarah Brand, writer-economist exploring corporations in speculative fiction. They chat about psychohistory and forecasting, sci-fi metaphors in political commentary, interstellar trade and Star Trek money, post-scarcity and The Culture, corporate power in cyberpunk, and stories about suppressed world-changing tech.
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ANECDOTE

Teenage Aspiration To Be A Psychohistorian

  • Paul Krugman read Foundation as a teenager and wanted to be like Asimov's psychohistorians who save civilizations through social science.
  • He later felt more like Cassandra: predicting bad things that often went unheeded until they happened, illustrating the gap between insight and influence.
ANECDOTE

Serious Economics For A Ridiculous Subject

  • In 1978 Krugman wrote a playful academic paper The Theory of Interstellar Trade to blow off steam as a junior professor.
  • He treated relativity and investment seriously, concluding investor-frame time (not ship time) matters for interstellar returns.
INSIGHT

Markets Are Hard To Replace Even In Utopias

  • Krugman argues economic fundamentals change slowly so futuristic claims like 'no money in Star Trek' are overstated.
  • He explains markets act like optimization Lagrangians: prices compress complex trade-offs into single signals that are hard to replace even in advanced societies.
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