Category Archives: Economics

Superlatives

The press recycles worn clichés when it reports on volatility in the markets. Last week’s 700-point drop was a “collapse” and today’s 5% drop is a “meltdown”. I’m sorry, but 30% is a meltdown and 50% is a collapse. 5% … Continue reading

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Forensic accounting automation

A widespread financial meltdown almost invariably correlates with widespread fraud. Companies that specialize in data mining should focus on developing forensic accounting data mining tools instead, and partner with investigation agencies or law firms to sell audit and prosecution services … Continue reading

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Financial integrals

Much of the current financial crisis is due not so much to realized losses on mortgage-backed securities as on uncertainty as to how much the derivatives are worth. Perhaps it’s time to start reversing the process and producing individual mortgages … Continue reading

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The Albanian scenario

People are only now beginning to realize the real estate bubble of the noughties was naught but a gigantic pyramid scheme. There is unexpected resistance to the idea of bailing out the investment bankers who did most to get us … Continue reading

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The CEO should not be a member of the board

It’s an open secret that most public corporations exhibit abysmal corporate governance. Insider management is skilled in using corporate by-laws against the shareholders that are nominally their bosses. One good example is HP’s acquisition of Compaq. Whatever the merits of … Continue reading

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Amazon wishlist optimizer

I wrote a script several months ago to go through an Amazon wish list and find the combination of items that will best fit within a given budget. Given that the Christmas holiday shopping season seems to have started before … Continue reading

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