We will never have a perfect model of risk. — by Alan Greenspan
Alan Greenspan :
The most credible explanation of why risk management based on state-of-the-art statistical models can perform so poorly is that the underlying data used to estimate a model’s structure are drawn generally from both periods of euphoria and periods of fear , that is, from regimes with importantly different dynamics.
-
FOLLOW UP
-
Leave a Reply
You must be logged in to post a comment.
Select Category
All Best Posts Ever
Analysis (Accuracy & Precision)
Analysis (Industry)
Analysis (Market Efficiency)
Analysis (Meta)
Art
Betting
Business
Business & Economic Models
Business Administration
Cases
Collective Forecasting
Collective Intelligence – Wisdom Of Crowds
Consulting
Economics
Education
Entertainment
Entrepreneurship
Ethics
Events & Meetings
Exchange & Market Management
Exchanges & Markets
Films – Movies
Finance
Financial Markets
Forecasting (Science & Practice)
History
Humor
Information Technology
Internet Marketing – Internet Commerce
Internet Strategy
Internet Usability
Inventions & Innovations
Journalism
Leading & Lagging Indicators
Market Liquidity
Market Prices & Probabilities
Midas Oracle Administration
Midas Oracle Network
Miscellaneous
Music
People
Politics
Prediction Journalism
Psychology
Regulations
Resources – References
Search Engine Marketing
Search Engine Optimization
Software
Strategic Marketing
The Global Economy
The Internet
