Europe’s tragedy is not the result of an evil plot, but stems, rather, from a lack of coherent policies. As in ancient Greek tragedies, misconceptions and a sheer lack of understanding have had unintended but fateful consequences.
Category: Economics
Quants, Derivatives, And The Myth Of The Rogue Trader
The richness of math is in the abstraction. It allows you to take a step back from reality, and that gives us the freedom to think the way we want. Mathematicians display a great deal of imagination.
The Euro Is Not Unassailable, Even With The ECB’s Bond Buying
The problem is that the currency union is only as strong as its weakest link. Lopping off the weakest part of the Eurozone is not akin to removing a cancerous lesion from an otherwise healthy body, but more like the puncturing of an important blood vessel, which could well destroy the patient.
The Rise of the HFT Machines
The potential cost is huge; the short-term benefits are minuscule. Let’s give HFT the funeral it deserves.
The Bond Market Discovers A New Leading Man
Mr. El-Erian counters that Pimco’s culture rewards people who challenge conventional wisdom.
Abnormal Capitalist 