Financial overhaul deal gives Obama a new triumph

[EVAY]

Let me say it most directly:

Today's capital markets do NOT reflect the efficiency hypothesis upon which most all B-school statistical models of analysis are based.

Therefore, the statistical models that rating agencies, financial analysts, and many economists use are not going to have the predictive power that most assume they have, even in a probabilistic sense.

Therefore, blaming financial debacles on people who don't even understand as much as the Wall Streeters who pretend to know and understand is really off the mark.

Congress is full of lawyers, not financial analysts.

And remember that the debacle occurred during the tenure of our first MBA president.
Actually, I think W. had it pretty right when we said "Wall Street got drunk.

[boutons_deux]

Feingold has announced he will still refuse to vote for the reform bill, will not fill in for Byrd's missing support. Democrats themselves again.

Feingold's perfect is the enemy of the good "enough for now". The devil will be in the regulatory details where Dems can harden the vagaries of the bad language ( ing lawyers) into something really biting.

[EVAY]

I agree that this is a good example of the perfect being the enemy of the good.

Moreover, given the likely result of November elections, any sort of realistic reform is not going to be in the offing.

I am literally in the process of moving to almost all cash for the next 9 months or so, trying to figure out what is going to happen with markets and elections.

Ricght now, I don't trust any of them...either party or wall street or Bernanke