In this episode, we delve into the fascinating story of how DeepSeek, a Chinese AI startup, upended the tech and finance sectors with its R1 chatbot. Following an intense market crash spurred by DeepSeek's unexpected rise, Rich and John explore the behavioral and risk management failures that allowed this disruption to catch the industry off guard. We examine DeepSeek's unique development strategies, their leveraging of consumer behavior, and the broader implications for the AI industry. Join us as we dissect market reactions, investment strategies, and the lessons learned from this ongoing saga.

In this episode of Behavior and Risk, we delve into the first 35 days of Donald Trump’s second term as President of the United States. Winning a resounding victory in the 2024 election, Trump’s early days have been marked by numerous executive orders, controversial cabinet appointments, and significant federal government terminations. We explore whether his seemingly chaotic approach to governance is truly disorganized or if there’s a calculated method to his actions. Join us as we analyze Trump’s use of cognitive anchors, uncertainty, and loss aversion, and discuss what behavioral scientists, risk managers, investors, and concerned citizens can learn from his tactics. Understanding Trump's management style is crucial for navigating the volatile political landscape and anticipating the possible outcomes of his administration.

Early 2025 saw wildfires tear through Los Angeles at an unthinkable scale. In this episode, we examine what this tragic event can teach us about the insurance industry, home purchase decisions, and the overall structure of risk appetite.

In this episode, we examine the phenomenon of deal lust. What is it, how can it impact M&A transactions, and what does it teach us about group dynamics?