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[MetaFilter] the next debt bubble? | MetaFilter: Just like in the professor's gold example, many derivatives markets are based on underlying securities that are materially less liquid than the derivatives securities themselves...the issue is compounded in situations where the total outstanding size of the underlying security is just a fraction of the outstanding derivative contracts. The problems arise when there is a default on a derivatives contract that requires delivery of the underlying security...in most cases, the participants all just settle their trades for cash, but in an extreme case, the scramble for postions in the underlying could cause enough displacement in pricing to spill over into other securities or markets...the "revolution"

[Cafe Hayek] Is Insider Trading Harmful?: "Insider trading is legal for corporate execs" (GPHanner): not true, and they are very careful to exercise most of their options on a fixed schedule, or in correspondence of certain events (illness, divorce, departure from company).

[The Baseline Scenario] Big Banks Fail « The Baseline Scenario: James Petras, Professor of Sociology, Binghamton University, said in the article “US Bank Money Laundering, Enormous by any Measure”: “There is a consensus among U.S. Congressional Investigators, former bankers and international banking experts that U.S. and European banks launder between $500 billion and $1 trillion of dirty money each year, half of which is laundered by U.S. banks alone. As Senator Carl Levin summarizes the record: “Estimates are that $500 billion to $1 trillion of international criminal proceeds are moved internationally and deposited into bank accounts annually.

[bit-player] bit-player » Blog Archive » Outnumbered: Of course, the details will change, and in particular, word lengths will continue their progression from 16 to 32 to 64 to 128 bits and beyond…. But I believe the two defining features of floating point arithmetic will persist: relative rather than absolute magnitudes, and rounding of all intermediate quantities.

[HepCNews from the HCV Advocate] News Review Week Ending July 11, 2009: Purine nucleos(t)ide analogs have many of the benefits of pyrimidine nucleos(t)ide analogs, like R7128 and PSI-7851, in that they have demonstrated in vitro activity across multiple genotypes, a higher barrier to resistance than other classes of HCV small molecules in development, and the potential to be combined with other direct acting antivirals targeting HCV. In addition, these purine analogs are also active against the S282T resistant variant selected in vitro by the pyrimidine analogs, and are metabolized to the active triphosphate form through a different phosphorylation pathway than the pyrimidines.

[Rick Bookstaber] Rick Bookstaber: Why Do Bankers Make So Much Money?: Sharpe ratio does have its problems but it is not correct that a 20yr Sharpe ratio and a 1yr Sharpe ratio are the same thing in terms of statistical inference. Sharpe ratio and t-statistic (as a standard measure of statistical significance) are proportional by the square root of sample size.

[Musings of an Energy Nerd] Passivhaus Windows | GreenBuildingAdvisor.com: According to Edwin Dehler-Seter, the Bemidji institute’s environmental education specialist, the workers who opened the shipping container in Minnesota felt the same awe experienced by Howard Carter when he opened Tutankhamun’s tomb: “Unpacking and moving the heavy wooden-framed, triple-pane windows from Germany’s small windows manufacturer Müller required a lot of manpower, careful handling as well as patience. ”¦ The day before the cargo arrived, we all watched Müller’s video on how they had loaded and secured the windows in the container.

[MarketSci Blog] Transactional vs Confidence-based Trading Strategies « MarketSci Blog: For example, if you have a transactional system that says to buy when RSI(2) drops below 10, it says to do nothing if RSI(2) drops to 10.01 and to go fully long when RSI(2) drops to 9.99, even though the difference is generally less than a penny in the stock price. With a confidence based system, the rule might be that at RSI(2) of 10.01 you should buy 1 unit for every $900 and at RSI(2) of 9.99 you buy 1 unit for ever $895 dollars, which is only a small difference that better reflects the lack of any meaningful difference between the two indicator values.

[The Life Without Limits Community Blog] The Life Without Limits Community Blog » All I Really Need To Know ...: I fyou could only see how hard teachers today work, in highly stressful environments, trying to make up for what kids SHOULD have known before they even started school but didn’t, you might have a different perspective.

[MoJo Blog Posts: kevin drum] Karzai Revisited | Mother Jones: Corruption is also especially significant in Afghanistan in that the Taliban was the Afghan government most free from corruption in living memory. Indeed, their rise was largely buoyed by public disgust with the previous corrupt regime that our previous, covert intervention in Afghanistan led to, many elements of which are now back to their old tricks as elements of the Karzai regime.

[TechCrunch Europe] Taking the shine off: Why blog publishing 'failed' in the UK (or ...: not sure why everyone has felt the need to voice their opinion on the quality of Shiny Media’s site and content, when the issue being presented very effectively by Ashley is why the VC and PR community in the UK are reluctant to invest/advertise with them or other blog networks, when clearly it IS the most popular blog network in the UK, and gets traffic that is admirable even though they are not a web application that by its very nature is more page impression heavy. Surely we should be congratulatory to one of our own here in the UK who are successful and passionate, even if you ‘think’

[The Housing Bubble Blog] The Housing Bubble Blog » A Matter Of What's Fair And Reasonable ...: Also,from the standpoint of security and independence ,it’s stupid to rely on other Countries to manufacture everything .You put yourself in the position of forgoing your own Constitution in order to do business with the rest of the World .

[Joe Posnanski] Joe Posnanski » Blog Archive » Best PURE Hitters: Hey, I applaud ownership in spending money to win. I only WISH that owners like Glass with the Royals would .

The Blue Blog: It apponted a leader who was not democratically appopinted to be Prime Minister by the electorate, once in office he made catastrophic financial decisions against experienced profesional advice, he pursued a pernicious taxation policy without regard for fairness or ability to pay, he expanded the public sector and public spending beyond reason and much more besides.

[The Housing Bubble Blog] The Housing Bubble Blog » Bits Bucket For October 12, 2009: difficulties was a letter sent this summer by Bank of America that mistakenly informed some of them that they did not qualify for the administration’s foreclosure-prevention program because their loans were not backed by Fannie Mae or Freddie Mac, the government-controlled mortgage giants. “Bank of America is not actively participating in this program,”

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