26 Posts found for Source: McKinsey Quarterly

The first rule in science is that you must not fool yourself, and you are the easiest person to fool.

Author: Richard Feynman | Source: McKinsey Quarterly | Subject: Math & Science

The value flows from corporations to households through eight different pathways. If you take a dollar of revenue that the average corporation generates, 25 cents of that flows through as labor income: wages, salaries, and other benefits to employees. Seven cents of that dollar goes to capital income, meaning dividends, share buybacks, and interest payments to debtholders. Six cents goes to investment—earnings that are retained … [ Read more ]

Authors: Clarisse Magnin-Mallez, Michael Birshan, Sean Brown | Source: McKinsey Quarterly (November 12, 2021) | Subjects: Business, Economics | Economy, Excerpts

We are not taught how to take advantage of a diverse thought—diverse in the sense that your thought conflicts with mine—rather than saying, “I have an idea. Yours is different than mine. I must make sure mine triumphs,” which is generally what we’re taught to do, to advocate for our point of view. We’re not going to get where we need to be on diversity … [ Read more ]

Author: Roger Martin | Source: McKinsey Quarterly | Subjects: Education | Scholarship, Life & Society, Thought | Inquiry

In much of our education, and in many of our formative experiences, we’ve learned that some simple problems have one right answer. For more complicated problems, accepted algorithms can help us work out the best answer from among available options. We respond to uncertainty with analysis or leave that analysis to the experienced hands of others. We look for leaders who know the way forward … [ Read more ]

Authors: Jennifer Garvey Berger, Zafer Achi | Source: McKinsey Quarterly | Subjects: Education | Scholarship, Psychology | Behavior

When looking at artificial intelligence from the perspective of economics, we ask the same, single question that we ask with any technology: What does it reduce the cost of? Economists are good at taking the fun and wizardry out of technology and leaving us with this dry but illuminating question. The answer reveals why AI is so important relative to many other exciting technologies. AI … [ Read more ]

Author: Ajay Agrawal | Source: McKinsey Quarterly (April2018) | Subjects: Articles & Links, Economics | Economy, Excerpts, Information, IT | Technology

We are creating an intelligence that is external to humans and housed in the virtual economy. This is bringing us into a new economic era—a distributive one—where different rules apply.

Author: W. Brian Arthur | Source: McKinsey Quarterly (October2017) | Subjects: Articles & Links, Economics | Economy, Excerpts, Politics & Public Policy