A game theory view of why fragile systems produce distrust, defensive behavior, and collective failure. Many failing systems share a common characteristic: No one trusts the system enough to cooperate fully. Businesses delay payments. Consumers avoid compliance. Governments override market signals. Investors demand short-term returns. Employees prioritize extraction over long-term performance. Everyone becomes defensive. At […]
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Coordination Failure: Why Rational Decisions Produce System-Wide Failure Why systems break when individuals act rationally—but not collectively. Not every failed system is filled with foolish people. Sometimes, everyone is acting rationally. The farmer refuses to invest because there is no guaranteed buyer. The processor refuses to build capacity because supply is fragmented. The bank refuses
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This post builds on the Allocator Lens model → read it here. A statement on authority, systems, and the discipline of explanation. There is a reasonable question that follows any work of this kind: “What qualifies you to write about systems, finance, and large-scale economic structures?” The question is valid. I have not run a
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