Monthly Archives: April, 2009
Deficient Market Hypothesis?
Lately, especially in the past six months, the Efficient Market Hypothesis, upon which the Dumb Agent Theory is predicated, has taken a beating from many sides. How can an efficient market have bubbles like the ones we saw in 2000 and, more recently, the Housing Bubble? How can anyone say with a straight face that [...]
The Causes of the Downturn – Updated
We reported on the an endeavor by Fraser Nelson of the Spectator to collect peoples’ wisdom about the different causes of the current economic downturn. We also highlighted our caveats about the situation. We would like to report that the endeavor has been launched in a wiki format, which means it can be edited by all users. [...]
Money from Helicopters?
Federal Reserve Chairman Bernanke has openly admitted that he is printing money through quantitative easing based on his statements in the March 17th FOMC meeting. … To provide greater support to mortgage lending and housing markets, the Committee decided today to increase the size of the Federal Reserve’s balance sheet further by purchasing up to [...]
