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Tuesday, July 13, 2010

New Statesman - Beware those Black Swans

New Statesman - Beware those Black Swans: Do not give children sticks of dynamite, even if they come with a warning label: Complex financial products need to be banned because nobody understands them, and few are rational enough to know it. We need to protect citizens from themselves, from bankers selling them "hedging" products, and from gullible regulators who listen to economic theorists.


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