Just how far is the WSJ moving towards UK-style journalism? Well, the editor of its European edition, Patience Wheatcroft, used to edit the Sunday Telegraph — a broadsheet gently ribbed in media circles for its ability to illustrate just about any story with a picture of a girl in a bikini.
What happens if you cap credit-card interest rates at 16%? Yes, at the margin, the amount of credit extended on credit cards would fall. That’s a feature, not a bug. But would it fall dramatically? Pamela Yip quotes Odysseas Papadimitriou:
You knew it had to happen at some point: a couple of economics professors at UC Davis have done an “event study” of the Tiger Woods news cycle, and concluded that
The discussion about Goldman’s synthetic CDOs just happens to coincide with a separate thread about a working paper by four researchers at Princeton, who seem to have a solid mathematical demonstration that CDOs simply can’t be priced: the amount of computing power necessary to do so just doesn’t exist.