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The Strategic Dilemma of the Tbilisi Marshrutka Drivers
22 July 2013

Everyone using the service of the Tbilisi marshrutkas experiences one of two extreme cases: the marshrutka either moves tantalizingly slowly or excessively fast. How can this apparent paradox be explained? In search of an answer, let us turn to game theory, one of the appealings outgrows of mathematical economics.

Yellow Moving Saunas in the Streets of Tbilisi: A Tragedy
19 July 2013

Tbilisi public transportation resembles a classic Greek tragedy. In those pieces, usually, the gods interfere with human affairs and create a big mess. In Tbilisi, marshrutkas were operating in a competitive market and state intervention led to the creation of a monopoly.

The "Wizz Air Effect" or how Georgia Became Part of the Global Economy
15 July 2013

On Monday evening I am taking the express train from Tbilisi to Samtredia with my wife and two kids (business class, 120GEL). We plan to stay overnight in a little family hotel (40GEL), and at 6.30 am we’ll board the Wizz Air flight to Katowice, Poland, at the cost of €40 a person and €35 per suitcase (one way).

American Dream vs. Georgian Dream
12 July 2013

When I first started reading to my daughter I decided to buy a collection of Georgian fairy tales. However, as I started to read, I noticed that there were lots of things I did not agree with and found myself having to rephrase some of the passages as I read.

David the Economist
05 July 2013

In 1122, King David IV. reconquered Tbilisi from the Muslims. In those times, a bloodbath among the former oppressors would have been the logical consequence of such a victory. Leaders of the High Middle Ages took merciless revenge against their enemies once they had defeated them.

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