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[C]onclusions and methodology are not entirely distinct from one another. Trained experts commonly extrapolate from existing data. But nothing in either Daubert or the Federal Rules of Evidence requires a district court to admit opinion evidence which is connected to existing data only by the ipse dixit of the expert. A court may conclude that there is simply too great an analytical gap between the data and the opinion proffered. (p. 519)

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You can use the information about how your quantity demanded changes when price goes up to plot out two points on your demand curve for pizza: four slices demanded at a price of 1, and two slices demanded at a price of 2. In Figure 9-3, we plot these two points and sketch in the rest of the demand curve. As you look at the figure, keep in mind two things: The downward slope of the pizza demand curve derives in part from the diminishing marginal utility of pizza, but . . . As the price of pizza changes, the quantity demanded of pizza doesn t change in isolation; it changes as the result of rearranging the quantity demanded of both beer and pizza in order to maximise total utility. Demand curves for individual goods aren t made in isolation. Certainly, a relationship exists between a good s price and its quantity demanded. However, when the good s price changes, that change affects the entire budgeting decision not just for that good, but for every good. The resulting change in the good s quantity demanded is just part of the overall rearrangement of spending that strives to keep maximising total utility given the new price. Consider how the increase in the price of pizza affects the demand curve for beer. As we increase the price of pizza from 1 to 3 per slice, consumption of beer rises from three to five slices. But the price of beer was unchanged. This means that the demand curve for beer must have shifted (which we explain in 8).

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In the process of creating rules of evidence, or making rulings on evidence, judges unavoidably are thinking about the psychology of witnesses, litigants or jurors. For example, to create a rule conditioning testimony on a witness s taking an oath bespeaks an assumption that something about oath-taking will increase the veracity of witnesses. Similarly, to create a rule excluding evidence of subsequent remedial measures requires a theory that litigants will weigh risks and bene ts when

Open business models like that followed by Linux look unprofitable and destructive when you consider them from the old world perspective of lengthy copyrights, strict control of intellectual property, and managing information ownership as though it were like real property. Managers of software firms who have built their business on license revenue look at open source efforts that provide software completely for free and understandably consider that such a move may destroy whatever value existed in the software industry. But there is still value to be had, and companies like Red Hat, a distributor of Linux, find it in services and support around the free software. Proprietary companies like Microsoft, however, have structured themselves to unlock value using high license fees, shrink-wrapped software, licensing protections, and expensive upgrades. From their perspective, open business models really do destroy value. The value isn t gone though; it s just moved somewhere else. Open business models unleash an incredible amount of value by creating what Tim O Reilly calls an architecture of participation.* The web is based upon an architecture of participation, and that s where the value in information technology is migrating. Its value comes not from the efforts of one

Implementation complexity of voice codecs Speech codec complexity WMOPS Data RAM (16-bit kwords) Data ROM (16-bit kwords) GSM channel codec complexity WMOPS Data Program RAM ROM (16-bit (1000 kwords) assembly instructions) 0.9 4.1 1.8 4.9 3.8 Data ROM (16-bit kwords) Program ROM (1000 assembly instructions)

Let us examine more closely the claim that per-user needs for bandwidth are sure to continue to grow. After all, ever since Shannon and Pierce analyzed the bandwidth of the human perception mechanism in the 1940s, one hears the recurrent

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