tag:blogger.com,1999:blog-5880610.post7819709519322707330..comments2024-01-13T18:57:18.243-05:00Comments on Information Processing: Deprogramming the cult of the Efficient MarketSteve Hsuhttp://www.blogger.com/profile/02428333897272913660noreply@blogger.comBlogger10125tag:blogger.com,1999:blog-5880610.post-1278564332757819862009-03-15T14:15:00.000-04:002009-03-15T14:15:00.000-04:00I remain doubtful about Roberts' "deprogramming". ...I remain doubtful about Roberts' "deprogramming". IMO he plays devil's advocate whenever he is challenging his fellow deciples. Not that I agree with his positions in principle, I just think that if we can ease suffering in the present we shouldn't wait for markets to do it "eventually", just because we've subscribed to the efficiency paradigm.Evahttps://www.blogger.com/profile/03369306524440472387noreply@blogger.comtag:blogger.com,1999:blog-5880610.post-48835813676328184072009-03-02T13:57:00.000-05:002009-03-02T13:57:00.000-05:00> Markets are not perfect, but they are better ...> Markets are not perfect, but they are better than government bureaucracy at making decisions. <BR/><BR/>I actually agreed with most of Meltzer's points, and I agree with what you wrote above -- *most of the time* markets do better than government. But that does not mean we cannot (easily) identify big screw ups or limitations. <BR/><BR/>The 10 minutes of the interview I emphasized reallySteve Hsuhttps://www.blogger.com/profile/02428333897272913660noreply@blogger.comtag:blogger.com,1999:blog-5880610.post-7189700589835065172009-03-02T13:45:00.000-05:002009-03-02T13:45:00.000-05:00I actually think Metzer's analysis of the problem ...I actually think Metzer's analysis of the problem is mostly correct. Where I differ with him is that I am not certain that the Wall Street execs were fully aware of the risks that they were taking.<BR/><BR/>Markets are not perfect, but they are better than government bureaucracy at making decisions.kurt9https://www.blogger.com/profile/02101147267959016924noreply@blogger.comtag:blogger.com,1999:blog-5880610.post-85452896640434871702009-03-01T18:59:00.000-05:002009-03-01T18:59:00.000-05:00Also see This American Life's newest installment i...Also see <EM>This American Life</EM>'s <A HREF="http://www.thislife.org/Radio_Episode.aspx?episode=375" REL="nofollow">newest installment</A> in their series on the financial crisis, anchored as usual by Alex Blumberg and Adam Davidson.<BR/><BR/>(I think it's about time to call this a depression, folks.)CWhttps://www.blogger.com/profile/15671404306768077552noreply@blogger.comtag:blogger.com,1999:blog-5880610.post-46194237722720215522009-03-01T17:30:00.000-05:002009-03-01T17:30:00.000-05:00From NPR:More Undergrads Signing Up For Econ 101(3...From NPR:<BR/><A HREF="http://www.npr.org/templates/story/story.php?storyId=101321353" REL="nofollow">More Undergrads Signing Up For Econ 101</A><BR/>(3/1/2009)<BR/><BR/>Why? Well, it's not because they're hot to go into the financial services industry...CWhttps://www.blogger.com/profile/15671404306768077552noreply@blogger.comtag:blogger.com,1999:blog-5880610.post-26152331405442073552009-02-26T17:35:00.000-05:002009-02-26T17:35:00.000-05:00Mathematical economics is equilibrium thermodynami...Mathematical economics is equilibrium thermodynamics using the calculus. Economics has positive feedback, territory where delta-epsilon smoothing fails: 1637 Netherlands and tulips, Hunt brothers and silver, Milton Friedman and "Whip Inflation Now!", his Chicago Boys and Chile; Merton, Scholes, and Long-Term Capital Management, America's debt orgy climax. Real World economics is Prigogine Uncle Alhttps://www.blogger.com/profile/05056804084187606211noreply@blogger.comtag:blogger.com,1999:blog-5880610.post-66423543030833345532009-02-26T14:57:00.000-05:002009-02-26T14:57:00.000-05:00The insufficient negative feedback was bought and ...<STRONG>The insufficient negative feedback was bought and paid for.</STRONG><BR/><BR/>From <A HREF="" REL="nofollow">The End of the Financial World as We Know It</A>, By Michael Lewis and David Einhorn (NY Times op-ed, 1/3/2009):<BR/><BR/><EM>Richard Fuld, the former chief executive of Lehman Brothers, E. Stanley O’Neal, the former chief executive of Merrill Lynch, and Charles O. Prince III, CWhttps://www.blogger.com/profile/15671404306768077552noreply@blogger.comtag:blogger.com,1999:blog-5880610.post-26312494569438111582009-02-26T09:04:00.000-05:002009-02-26T09:04:00.000-05:00Isn't a typical case of insufficient negative feed...Isn't a typical case of insufficient negative feedback in the control-loop?Anonymoushttps://www.blogger.com/profile/00409924945516479600noreply@blogger.comtag:blogger.com,1999:blog-5880610.post-60301981737631021812009-02-26T08:59:00.000-05:002009-02-26T08:59:00.000-05:00Are any economists proposing moral hazard and inef...Are any economists proposing moral hazard <B>and</B> inefficient markets as causes for the crisis? You'd have to be blind not to see government and market failure in what's happening now.Horatiohttps://www.blogger.com/profile/00891591053238760399noreply@blogger.comtag:blogger.com,1999:blog-5880610.post-54009767792410577642009-02-25T18:14:00.000-05:002009-02-25T18:14:00.000-05:00The purpose of the EM is to explain to professors ...The purpose of the EM is to explain to professors themselves why they aren't rich. It is an excuse. "Everyone who's made a fortune in the market was just lucky."Ian Smithhttps://www.blogger.com/profile/06837467954881003505noreply@blogger.com