Gun and Bank Regulations

Recently, David Gregory brandished a 30-round magazine on his Sunday TV show as a prop. He knowingly violated a local law that prohibits th...

Samuelson on Keynes

I couldn't find this Samuelson essay online anywhere, so I'm posting it here. It's rather enlightening portrait from one of Keyn...

Ben Graham: Relative Utility Investor

One of my themes in The Missing Risk Premium is that people i people are benchmarking--aka relative utility investors--then they only devia...

The High Price of Low Delta Options

Antti Ilmanen and Frazzini and Pedersen have papers highlighting the poor returns to low delta options. This highlights the power of predi...

Another Crank

As critic of modern economics , I am often contacted by other critics, or fans of other critics. Alas, I often find them not even wrong, as...

Cult of the Presidency

Watching the media's anticipation of Obama's press conference after the tragic school shooting in Connecticut, I was reminded of the...

The Trolley Problem

Over on Bloggingheads, some psychologists were discussing the neurology of moral judgments. They discussed the trolley problem , which is p...

Great Minds Confabulate Like Small Minds

James Heckman won a Nobel Prize for his work on econometrics, statistics applied to economics. His latest work on education looks at the ef...

Shorting Green Energy

A Business Insider post showed the remarkable 98% decline in the RENIXX since 2008, and index that tracks the world´s 30 largest companies i...

Marxism Lives

Paul Krugman vaguely implies that productivity is the cause of stagnant wage growth, in that robots are taking over former 'good' jo...

Hong and Sraer's Explanation of the Low Vol Anomaly

In 1977 Ed Miller proposed a simple model where greater dispersion in in beliefs generated a greater price for stocks because those holders...

Taleb's Sokal Hoax

Taleb's latest book he mentions a little trick he played on academics, basically, he created a bunch of nonsense in abstruse mathematics...

New Low Vol Index

This one is a bit too cute for me. The CBOE LOVOL Index combines a portfolio of SP 500 stocks and simultaneously selling SPX calls and bu...

Embedded Leverage and Returns

Frazzini and Pedersen, the duo behind AQR's Betting Against Beta theory behind the low vol anomaly, have a new paper out on embedded le...