A number of finance and economic writers have come out rationalizing Pete Carroll’s controversial play call in the Super Bowl which ended up being intercepted by the Patriots and leading to the [ … ]

I used to gamble quite a bit.  Not because I enjoyed losing money, but mainly because I was convinced that I understood the games better than most.  I don’t know [ … ]

Economics is categorized as a “social science” alongside anthropology, psychology and sociology.  Which makes complete sense considering that economics studies the relationships that dictate how we produce and consume goods [ … ]

It’s Friday, the markets are rising (what else is new) and there’s not a lot of interesting things to talk about so let’s talk about something else – sports.

Jurgen Klinsmann, the coach of the US soccer team is caught in a maelstrom after deciding to leave Landon Donovan, the leading goal scorer in US Men’s National Team history off the team. But I don’t think he’s getting enough credit for the brilliance behind the move. And to me, it looks like a smart case of second level thinking.

This recent Gallup survey on expected future returns of asset prices is pretty interesting. It shows that most Americans still think that owning a home is the best way to generate a high return in the future:

In my view, “risk management” is largely about understanding the big picture so you can better decipher the world.

I don’t know what it will take for more people to take behavioral finance seriously and assimilate it into their work, but I do think that day is coming. Here’s to hoping it doesn’t take another 2008 style slap upside our economic head to get us there.

We humans are a fickle bunch.  If there’s one thing you can pretty much guarantee, it’s that things are never really good enough.  We seem to focus excessively on the [ … ]