“Judge the value of what you have by what you had to gi...

The principle of an opportunity cost does not at first glance seem hard to understand. If you spend half an hour noodling around on Twitter, when you would otherwise have been reading a book, the lost book-reading time is the opportunity cost of the tweeting. If you decide to buy a fancy belt for £100 instead of a cheaper one for £20, the opportunity cost is the £80 shirt you could otherwise have bought. Everything has a cost: whatever you were going to do instead, but couldn’t. [...] ...

 President-Elect Trump has a Low Signal-to-Noise Ratio

What a president says is typically allotted a ton of news value, by default, and rightly so. But it has been assigned news value because it traditionally has had a very high signal-to-noise ratio. Presidential remarks are normally so considered, vetted, poll-tested, etc. They usually are a somewhat reliable guide to the policies a president will pursue, how they’ll pursue them, etc. But Trump isn’t like that. He throws a ton of stuff out there, on Twitter and off. The signal-to-noise rati...