Money and Finance
- Books...
I just started the book The Nature of Value, and author Nick Gogerty mentions two other interesting books for the multidisciplinary thinker in the acknowledgements worth checking out, which he said provided him "a useful way of framing the 'why'...
- Nassim Taleb: From Fat Tails To Fat Tony
Predictions of socioeconomic variables are as dependable as the horoscope—so let’s not rely on them in 2013. Instead we will need systems that don’t fall apart when we make a mistake. This may seem blindingly obvious but apparently it is too “trivial”,...
- Wired: How To Spot The Future – By Thomas Goetz
So how do we spot the future—and how might you? The seven rules that follow are not a bad place to start. They are the principles that underlie many of our contemporary innovations. Odds are that any story in our pages, any idea we deem potentially...
- Complexity Is The Perfect Moat.
Found via Claire Barnes. The most obvious features of recent political and financial "solutions" are their staggering complexity and their failure to fix what's broken. The first leads to the second. Consider the healthcare "reform," thousands of...
- How Online Companies Get You To Share More And Spend More - By Dan Ariely
Found via Simoleon Sense. You’re not stupid, but you can be fooled. For millennia, the best salespeople have known how to exploit the vulnerabilities of the human mind. In the burgeoning field of behavioral economics, we’ve begun to give precise names...
Money and Finance
Rick Bookstaber: Human Complexity & Financial Markets
Found via Simoleon Sense.
In a recent post I discuss the limitations of neoclassical economics and the strain of behavioral economics that remains tethered to it. I argue that they fail because the market is inhabited by people, heterogeneous and context-sensitive, who do not live up to the lofty assumptions of mathematical optimization and Aristotelian logic that underlie these approaches – and do not do so for good reasons.
The nature of complexity also is different in the economic realm from that in physical systems because it can stem from people gaming, from changing the rules and assumptions of the system. Ironically, "game theory" is not suited to addressing this source of complexity. But military theory is.
- Books...
I just started the book The Nature of Value, and author Nick Gogerty mentions two other interesting books for the multidisciplinary thinker in the acknowledgements worth checking out, which he said provided him "a useful way of framing the 'why'...
- Nassim Taleb: From Fat Tails To Fat Tony
Predictions of socioeconomic variables are as dependable as the horoscope—so let’s not rely on them in 2013. Instead we will need systems that don’t fall apart when we make a mistake. This may seem blindingly obvious but apparently it is too “trivial”,...
- Wired: How To Spot The Future – By Thomas Goetz
So how do we spot the future—and how might you? The seven rules that follow are not a bad place to start. They are the principles that underlie many of our contemporary innovations. Odds are that any story in our pages, any idea we deem potentially...
- Complexity Is The Perfect Moat.
Found via Claire Barnes. The most obvious features of recent political and financial "solutions" are their staggering complexity and their failure to fix what's broken. The first leads to the second. Consider the healthcare "reform," thousands of...
- How Online Companies Get You To Share More And Spend More - By Dan Ariely
Found via Simoleon Sense. You’re not stupid, but you can be fooled. For millennia, the best salespeople have known how to exploit the vulnerabilities of the human mind. In the burgeoning field of behavioral economics, we’ve begun to give precise names...