Archive for August, 2007

Thing Two: The Computer Program, When Used in the Fuzzy Environment of Risk and Return Measurement, is a Risk Unto Itself.

Monday, August 20th, 2007

Thing Two We Learned  This is the most surprising thing we learned in the mortgage crisis, and the thing that I have seen mentioned least. But there can be no doubt that computerization became a risk unto itself during the crisis.

Thing One: Rules-Based Financial Market and Institution Regulation is Dead

Monday, August 20th, 2007

The First Thing We Learned. Banking Regulation since the late 80’s has been characterized by countries actually adopting (in the case of a few countries such as Australia, UK, Continental Europe, and a few others) or apparently adopting (in the case of the vast majority of countries) a common ...