February 2, 2013 2 Comments
PostLibertarian sullies the immigration debate with a bunch of considered, thoughtful comments that are completely devoid of dogma or name-calling. Ugh. On the bright side, he has crunched the numbers and determined that, climate-wise, we’re only at a modest 3.46 on the GAB Index. So we’ve got that going for us.
Is it time to centralise capital calculation? It turns out that when you tell a bunch of banks to calculate their own risk-weighted assets, they come up with wildly different numbers for the same stuff. So, maybe that’s a problem. Here’s the thing though: you know why they come out with different answers? Well let’s refresh our memory on which this calculation involves:
RWA := [a VaR + another, somehow stupider VaR]*(some fixed number pulled out of a hat) + other black box stuff you can't possibly manage to and which is probably calculated incorrectly so all you can do is just kinda hope it all stays small, or alternatively, you could probably get it smaller by shutting down businesses
In other words, it’s a Large Calculation. But as RWCG readers know, all large calculations are wrong. So, I’m skeptical that the answer to this is to ‘centralise’ the calculation – i.e., make it even larger.
Kevin Drum reminds us, correctly, that money is fungible. This however is way off base:
In other words, money is fungible, a subject that liberals and conservatives alike treat with abandon depending on whether they happen to like the consequences. In this case, liberals are willing to accept the fiction that the money for contraceptive coverage is somehow “segregated,” and conservatives aren’t. When bailed-out bankers pay themselves big bonuses and swear that not one dime is coming from bailout funds, the roles are reversed.
Actually the roles aren’t reversed; who was it leading the charge to bail out those bankers? Not ‘conservatives’; it was lefties.
Unless I’m misreading, Derivatives Ninja seems to slightly disapprove of derivatives lawsuits in which a counterparty says, essentially, ‘hey! that derivative I did with you lost money, I want compensation’. My first clue came in the post’s title, specifically the part that went Enough already! Stop scapegoating the banks because derivatives buyers utterly failed to exercise proper diligence and completely shirked their responsibility to understand what they were buying. I’m pretty perceptive that way.
Are you looking forward to the Super Bowl as much as I am? I’ll be right there rooting for Joe Montana, Ronnie Lott and the rest of the 49ers to defeat Brian Sipe & the Cleveland Browns, which, how did they even make it to the Super Bowl anyway? Weird.