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Comparing Trades

Comparing Trades

How should you compare these three designs?

The third option is obviously worse than the first two - it's slow and dangerous. But between the other two is a question of values. Maybe a race car driver would prefer faster at the cost of some safety. Maybe the soccer mom wants safety over speed.

This is the idea of Pareto efficiency in a nutshell. A car design would be Pareto efficient if there’s no other design that allows you to get more speed or safety without getting less of the other.

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Getting Better Without Getting Worse

Getting Better Without Getting Worse

In an economy, Pareto Optimal state when no further changes in the economy can make one person better off without at the same time making another worse off. Named after Italian economist Vilfredo Pareto , the idea simply refers ...

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674 reads

Innovating Changes

Innovating Changes

In engineering, new inventions promise faster and safer cars than what exist today. The frontier can shift.

In your work, there’s always the possibility of radical changes that might break the current frontier. Maybe you find a technique that lets you get much more...

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344 reads

Are You On The Edge?

Are You On The Edge?

If you're on the frontier, here are a few guidelines

  • You’ve read and applied a lot of productivity advice, yoyre closer to the frontier and one who doesn’t even keep a to-do list is probably far from it.
  • When you look in your schedule, there aren’t a lo...

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317 reads

Optimize Options

Optimize Options

If you're far from edge, optimize. Treat each element in isolation and improve it.Want to improve your work? Just reorganize and get more done!

If you're on the productive frontier, improvement comes from trade-offs. Would you rather have a clean house or m...

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309 reads

Productivity Frontier

Productivity Frontier

Let's say you plot all your schedules and leisures in a graph, it shows all your productive possibilities, time allotment, and situations of good work and sudden work.

Now, is your situation is Pareto efficient?

If we’re below the frontier, improvements is needed. We...

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405 reads

Efficiency Frontier

Efficiency Frontier

What if there are more designs than the presented three? Such possibilities exist in some situations, surely with habits and situations. Here, putting them all on a graph, we can see that any of the ones on the inside of the frontier are bad choices.

Why?

Because there’s alwa...

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516 reads

Patterns Of Trade

Patterns Of Trade

Efficient frontiers reveal a general pattern. When you’re below the frontier, you can always improve simply by optimizing your choice. You can make a better choice by just pick an option that has more of what you want.

When you’re on the frontier, however, the only way to m...

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440 reads

CURATED FROM

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vinamra_

Neuropsychology and Employees |Understanding passions and habits

We all want to do everything, and feel guilty when we miss out on some. But..

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The Pareto Efficiency Concept

The Pareto Efficiency idea refers to situations where you can (or can't) improve something without trade-offs.

For example, consider designing a car where you aim for speed and safety. Pareto efficiency is to find a design that allows you to get more speed or safety withou...

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