Posts filed under “Philosophy”

On False Belief Systems . . .

I stumbled on this gem earlier today:

“Earlier this year, the Dow had dropped over 5,000 points in 6 months. One of the collective fallacies our culture operates under is the delusion that the market is some kind of astute forecasting machine. It is not — it represents the collective wisdom of 10 million panicked monkeys. That millions of slightly clever, pants wearing primates can combine their collective ignorance, their intellectual foibles, biases and false beliefs somehow into something resembling intelligence was one of the false beliefs of the era. Unfortunately, this is a condition the monkeys are prone towards (Witch burning, bloodletting, organized religion, etc.).”

-How Overrated is Sentiment in Economics?, November 22nd, 2009

The entire discussion is worthwhile . . .

Category: Philosophy, Psychology

The Rule of Law is Vastly Under-Priced

Cassandra Does Tokyo is a former hedge fund manager and ex NY Trader, who is now living abroad.  This was originally published on September 23, 2014 ~~~ When people prattle-on about tax, it is mostly made from ground-level, with a focus on tax rates. When my most rabid libertarian friends weigh in on the subject,…Read More

Category: Legal, Philosophy, Really, really bad calls

Time Is Finite: The Life of a Typical American in Weeks

Source: Know More via Wait But Why

Category: Data Analysis, Digital Media, Philosophy

Weekendend Homework: Sources & Research on Shiller’s CAPE

I have a fairly long piece coming out looking at CAPE, but for those of you interested, here are the research and resources I used: Fixing the Shiller CAPE: Accounting, Dividends, and the Permanently High Plateau   PHILOSOPHICAL ECONOMICS December 13, 2013 @Jesse_Livermore An Old Friend: The Stock Market’s Shiller P/E, Clifford S. Asness, Ph.D., AQR’s…Read More

Category: Markets, Philosophy, Valuation

MiB: Jim Chanos, Kynikos Associates

This week’s Masters in Business Radio show is on at 10:00 am and 6:00 pm on Bloomberg Radio 1130AM and Siriux XM 119. Our guest is famed short seller and hedge fund manager Jim Chanos. You can listen to live here. All of the past Podcasts are here and at Soundcloud and coming soon to…Read More

Category: Hedge Funds, Media, Philosophy, Podcast, Short Selling

Is Work Slavery? Taleb Thinks So…

“By setting oneself totally free of constraints, free of thoughts, free of this debilitating activity called work, free of efforts, elements hidden in the texture of reality start staring at you; then mysteries that you never thought existed emerge in front of your eyes.” ~ Nassim Nicholas Taleb Readers of this blog are likely aware…Read More

Category: Philosophy

Comparative Advantage: The Tragedy of Tasmania

From Don Boudreaux’s Everyday Economics: Hat tip Marginal Revolution What can a small, isolated island economy teach the rest of the world about the nature and causes of the wealth of nations? When Tasmania was cut off from mainland Australia, it experienced the miracle of growth in reverse, as the reduction in trade and human cooperation…Read More

Category: Economy, Philosophy

Single Variable Market Analysis is for Losers

If you work in finance, you will invariably come across an example of single-variable analysis. Almost daily, we see terrible examples of this sort of analytic error, rife with logical weakness, yet offered with the highest degree of certainty. The way this works is as follows: Some ominous data point will be shown, along with…Read More

Category: Analysts, Data Analysis, Investing, Philosophy, Psychology, Quantitative, Really, really bad calls

What Are The Cult Firms of Today?

@ritholtz I’ve read about other orgs before, and they don’t usually talk about a “search for the truth” and “getting to the other side” — Joseph Weisenthal (@TheStalwart) June 8, 2014     The other day, I got into a Twitter discussion with Joe Weisenthal and others on the hedge fund Bridgewater. A WSJ article had described…Read More

Category: Corporate Management, Philosophy, Psychology

The Values of Science

Robert Krulwich’s commencement speech at California Institute of Technology gets at the heart of what Radiolab does.

From RadioLab

Category: Philosophy, Science, Video, Weekend