Reflection on a Crisis DLD09

[0r14n583lt]

I think that what may be considered a rare event to one person may not be considered a rare event to another. Perhaps assessment of rarity depends on one's perspective and imagination.

[0r14n583lt]

I would really love to talk with Mr. Taleb about his observations. Especially in regards to buying and selling options. I've already live through two black swan events. Luckily, I am still here. I hope to profit from many more.

[papaqueque16]

Is it just me, or maybe the language barrier... But doesn't there seem to be palpable tension when Taleb speaks?

[cjatasu]

The thing I don't understand is the jump to "we should nationalize the banks." I don't understand his call for this.

[papaqueque16]

@cjatasu I think what he means is we should 1) stop subsidizing banks with taxpayer-and-debt-funded capital, and then, by extension 2) nationalize those which cannot survive.

[Melville10]

Taleb is one sharp fella.

[WilhelmDrake]

The "crisis" was not an "accident", it was a planned event (demolition), designed to transfer even more wealth to the already obscenely wealthy. For them the "crisis" has been a boon.

[eatandtravel]

@WilhelmDrake

A ton of wealthy people have been hurt in the 2008 credit crisis. I think Taleb has it right when he says that we really don't know our environment that well. To do so is foolish.

[WilhelmDrake]

Banking should be a public utility.

[bc0203]

An important discussion of praxiology as it applies to modern economics.

[ludosophist]

I just think it's so wonderfully astounding that hairless primates have gotten ahold of business suites, financial derivatives modeling and humility and are able to combine them so eloquently. I mean this will all due respect, the quantity of which is a function of your power law distribution regarding the probability that we're the only intelligent life form to ever exist.

[romshes]

the financilal industry should be regulated as tight as the insurance industry, with no more than 3 to 1 liability/ equity ratios. Prior to the crisis Goldman's leverage was around 15? Fannie 75!! Deleverage the system, and apply the same stochastic framework to banking as it is applied in insurance!! that's it.

Nassim, what do you think?

[Kushdyy]

how about a rr of 90% , it would take a brave new world to achieve this .

[ZombieAlbert]

Thanks there can't be too much of this on Youtube