A comment in the Financial Times, “Our need to sustain the ‘great moderation’,”by Stephen Cecchetti, professor of global finance at Brandeis, set my teeth on edge. I suspect many readers will react the same way. Let’s start: The US housing market has collapsed, placing severe strains on the financial system and, as a direct consequence, […]
Read more...With the financial system on the exam table, it has been more than a bit troubling, that certain questions are neglected in serious academic/policy debates. The discussion of possible remedies focuses on regulatory solutions, everything from requiring mortgage brokers to be licensed to increasing financial institution capital requirements and having much greater harmonisation, as the […]
Read more...Australian professors John Quiggin (economics) and Dan Hunter (law) in a provocatively titled paper “Money Ruins Everything,” which is coming out in the Hastings Communications and Entertainment Law Journal, argue that the nature of innovation is changing, and that in turn means that we need to rethink policies and incentives. Specifically, they note that the […]
Read more...As a resident of New York City, I am acutely aware of the perils of neuroticism. This town is full of it. I am as guilty as anyone, although I try to keep it under wraps. If I wasn’t concerned about looking like a control freak in front of clients and friends, I would grill […]
Read more...Reader Richard Kline, who provides regular, sophisticated comments, was keen to continue the discussion provoked by a post last week, “Hoisted From Comments: Greater Liquidity Produces Instability.” An anonymous reader offered a complex systems theory view of our modern financial system. The opening paragraphs: Perhaps a lesson to be learned here is that liquidity acts […]
Read more...Someone needs to tell Microsoft to behave. By way of background, in December 2004, Microsoft lost its final appeal on an EU antitrust case in which it was found guilty of tying its operating system to its media player, undermining competition and hurting consumer choice, and for failing to give rivals the information they needed […]
Read more...Gods, sometimes I am horrifically slow on the uptake. Felix Salmon continues a discussion with Dean Rotbart that effectively started at the econobloggers’ panel at the Milken Institute. Dean was the moderator, and did a very good job in generating a lively session (something I must say that was absent on most of the presentations […]
Read more...The New York Times has one of those “your tax dollars at work” stories in the form of “Costly Lesson on How Not to Build a Navy Ship.” The article recounts how the Navy set out to build a new type of vessel, “littoral combat ships,” which would become the first line of defense in […]
Read more...A Washington Post article, “From DNA of Family, a Tool to Make Arrests,” points to the increasing efforts to look for partial matches in DNA databases that might implicate close relatives. This is a disturbing development, since DNA, like other forensic evidence, isn’t as foolproof as its image in the popular imagination indicates. There have […]
Read more...Now that the credit markets for the moment have been moved out of intensive care, some commentators have shifted their attention away from “what should the powers that be do to prevent a meltdown” to the broader question of “what can we do to prevent this sort of mess from happening again?” Dani Rodrik, in […]
Read more...Before I put my buzz saw to work, let me make a few things clear. First, I have a good deal of respect for Robert Shiller’s work. Anyone who was willing to tell Greenspan in 1996 that he ought to be worried about asset bubbles has a good deal of foresight. Second, I am a […]
Read more...A simply great piece, “The Autumn of the Multitaskers” by Walter Kirn in the Atlantic. As someone who nearly died while multitasking, Kirm is particularly well positioned to discuss the considerable downside and dubious benefits of our modern way of attempting to process inputs. It’s an informative and often funny read. A few representative paragraphs: […]
Read more...Many in the security and public policy arena implicitly and often explicitly argue that greater security requires that we give up some, or a lot, of our privacy. Yes, it is necessary and a good thing that we have to take off our shoes to board an airplane. In Ars Technica, Jon Stokes says that […]
Read more...Bear with me on this post; it makes a more important point than you might anticipate. Reader Jim J sent this item from the Daily News, which tells of the indignities suffered by Citibank customers in New York City (including Jim himself) of having their ATM withdrawal limits reduced by half with no advance warning. […]
Read more...An article in today’s New York Times,” Innovative Minds Don’t Think Alike, is oddly annoying, even though it makes a useful observation. Urganizations tend to develop routinized, and therefore hidebound, approaches, and involving an outsider is a useful way to shake things up. Framed this way, the article is an argument for bringing in consultants […]
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