In our final episode of the year, I converse with author and data scientist Coco Krumme about the benefits and costs of optimization in finance, industry, and our daily lives. We explore AI and its overlap with optimization. We also consider the pros and cons of life optimization and finally discuss the extreme challenge of opting out. Episode Sponsors NetSuite  Delete Me – Use code David20 to get 20% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Optimal Illusions: The False Promise of Optimization by Coco Krumme—Penguin Random House cocofolio.com Coco Krumme—LinkedIn Related Episode 480: Beyond Faster (T+1) Trade Settlement: The Hidden Costs of Optimization See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

What are the tangible and intangible factors that have contributed to long-term U.S. stock market outperformance compared to the rest of the world? Despite these advantages, why might we still want to continue to be globally diversified? Sponsors Delete Me – Use code David20 to get 20% off LegalZoom - Use code David10 to 10% off Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes American productivity still leads the world—The Economist The Outlook for Long-Term Economic Growth by Charles I. Jones—Federal Reserve Bank of Kansas City How Much Will Global Warming Cool Global Growth? by Ishan B. Nath, Valerie A. Ramey, and Peter J. Klenow—UC San Diego Technology and demand drivers of productivity dynamics in developed and emerging market economies by Alistair Dieppe, Neville Francis, and Gene Kindberg-Hanlon—European Central Bank Capitalism is in worse shape in Europe by Ruchir Sharma—The Financial Times The Mother of All Bubbles by Ruchir Sharma—The Financial Times The Curious Incident of the Elevated Profit Margins by James Montier—GMO Federal Surplus or Deficit [-] as Percent of Gross Domestic Product - FRED Euro area government deficit at 3.6% and EU at 3.5% of GDP—eurostat End of an era: The coming long-run slowdown in corporate profit growth and stock returns by Michael Smolyansky—Federal Reserve Board Should investors just give up on stocks outside America?—The Economist Related Episodes 500: The S&P 500 Index and the Decade Ahead 499: What Makes an Economy Prosperous? Spotlight on Cuba and Argentina 343: Why the Productivity Slowdown Could Lead to Lower Living Standards See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.