On Mandela: Leading From The Front
Today, politicians do whatever it takes to stay in power. They poll the country, find out what attitudes will sell, and then set up organizations to send different messages to different constituencies, trying to make themselves look like what the polls tell them people want. Mostly, they don’t lead at all, and if they do, they lead from behind.
Mandela had a vision for what a good society would look like, and tried to encourage people towards it. “There are times when a leader must move out ahead of the flock, go off in a new direction, confident that he is leading his people the right way,” he wrote after being freed. He led from the front, having paid the price that guaranteed he knew firsthand what he was talking about.
POSTED — December 9, 2013 — Column, Frankfurter Allgemeine Zeitung
Knowing The Worlds: Guest Editorial in the FAJ November/December 2013, Vol. 69, No. 6
An editorial in the Financial Analysts Journal on methods of making sense of the world.
POSTED — December 7, 2013 — Links
The Complexity of Human Existence
The movie is about a girl in an overwhelming existential predicament.
I woke up thinking about the movie and its characters.
POSTED — November 22, 2013 — Books and Reviews
Laughing All The Way From The Bank
Could it be that cash machines proliferate in pizza parlors and bankers' crimes don't get seriously prosecuted because money isn't serious anymore?
POSTED — November 11, 2013 — Opinions
Spinoza & Behavioral Economics on the Pinball Table
The difference between LibPat's and Spinoza's analysis of the emotions
POSTED — November 8, 2013 — Opinions
The Crying of America: A Calculated Withdrawal from The Life of the Republic
Behind the hieryglyphic streets there would either be a transcendent meaning, or only the earth.
POSTED — October 28, 2013 — Books and Reviews
Fama and Shiller and Science
Conflicting models don't indicate that economics is not a science.
POSTED — October 24, 2013 — Opinions
Norman Mailer on Ambition
Look at me, Norman Mailer, I’m alive, I’m a genius
POSTED — October 23, 2013 — Quotes
Tamsin Shaw on Michalski’s “The Flame of Eternity: An Interpretation of Nietzsche’s Thought”
Michalski, on the other hand, reads Nietzsche as a poet and enlists him as an ally in showing us not only that our experience of the world is indescribably complex, fractured, and deeply fissured, but that through the fissures God might be revealed to us
POSTED — October 13, 2013 — Quotes
Wrigley’s Chewing Gum Becomes Less Popular Than Trident
An important story involving Larry Summers photograph
POSTED — October 7, 2013 — Miscellany
The Necrophiliac-Haters’ Guide to Building Arbitrage-Free Models*
How to build arbitrage-free financial models without inducing rigor mortis:
One pricing machine for all securities, consistent with the current value of the underlyer and a riskless bond.
POSTED — October 5, 2013 — Miscellany
Lewis Mumford on the 1929 crisis
The leaders and enterprisers of the period believed that they had avoided the necessity for introducing values, except those which were automatically recorded in profits and prices.
When the machine as a whole overspeeded and purchasing power failed to keep pace with dishonest overcapitalization and exorbitant profits—then the whole machine went suddenly into reverse, stripped its gears, and came to a standstill: a humiliating failure, a dire social loss.
POSTED — September 26, 2013 — Quotes
Unexpected Discoveries of Behavioral Finance
Who woulda thunk?
POSTED — September 25, 2013 — Behavioral Finance Puzzles
The Principles of Financial Modeling
There are only two workable principles that I know of in financial modeling: Use Analogy and Be Consistent.
I like this remark by Dirac: I am not interested in proofs; I am interested in how nature behaves.
POSTED — September 21, 2013 — Opinions
The Curse of the Martingale
I like to argue that you can get most of the results you need in derivatives via following common sense: a model is not too useful if it produces the wrong values for things you already know the price of.
POSTED — September 20, 2013 — Opinions