Saturday, August 24, 2013


Moral: Wherein we consider the cosmology of business, further, as things are going to be fundamentally changing which gives us some leeway to explore major issues.

Ben did not grace the Tetons with his presence this year. But, the bankers are there this weekend. Not all of those there have some solid notion about their influence on the world and their particular roles (including shades of them being irreplaceable - ego thing). And, they have that self-image despite dealing with fiat monies, crooked markets, and much more that ought not raise any hubris (except for accumulation comparison) especially given that their existence is oppressive, to the max, to we the people.

Before going on, let's review posts dealing with Ben's visits to the Tetons.
  • Chimera II (Aug 2010) -- These guys, along with Ben, have pushed equity as the prime focal area. One has to wonder why when the reality has a strong flavor of ca-pital-sino which we know from the gaming industry means the house always wins (via leeching) and there are no fair deals. Plenty have talked about the myths related to equities, yet these types persist in their ways. Why? Well, all sorts of benefits come with their positions. Where is there any basic science (with regard to the issues of finance, in general) talked that isn't watered down for the management idiocies?  -- Note: we didn't know of the coming run-up in equity markets that waffles when Ben talks tapering. At the same time, savers are reeling from being slapped silly.   
  • Financial piracy (Aug 2011) -- These guys traipse through one another's company as if they're the giants who rule the world. Ah, Pharaohs, indeed. Well, they do have major influence on how money impacts our lives. Yet, the way things have evolved are not sustainable. Little regard is given to "main" versus "wall" street issues. Though, lots of ink has been used on discussions of these matters, we'll attempt to add a missing viewpoint. -- Note: yes, we were still, at this point, removed from the maniacal bulge that fattened the pockets of the selected few. Then, we see jobs coming about that are not much more than indentured servitude as all eyes are directed to the chimera. 
  • Ben, da man (Nov 2011) -- Provider of the largest teat that we've seen. And, those who suckled have turned out to be the fattest cats possible (addicts to the max). At the same time, the takings from the savers were never calculated, as they ought to have been. -- Note: Unwinding? Ah, cold turkey ought to have been the mode; have we passed that point? It's going to be painful for all of us. Thanks Ben (slapped silly for years, now we have to clean up the mess after the addicts mess up the world).  
  • After all these years (Sep 2012) -- Yes, Ben's been slapping savers silly for several years now. And, he tells them to man up and continue to take it on the chin. Nice guy. -- Note: In the meantime, he has been worried about his little addicted equity investors who need coddling. He wanted an inflated equity market. Sure enough, it happened. At the same time, he's built up a large balance sheet (for which we are responsible) in proportions never seen before. Perhaps, we ought to thank Ben for giving us an situation from which we'll have to extract ourselves and by which we'll have to learn something (isn't forced education a wonderful thing?).  

Earlier, we started to talk about the cosmology of business. Well, we'll get back to that. And, since we're looking a things from a "cosmology" view, we start by looking at origins. Origins? Yes, from the beginning, so that the resulting viewpoint will be constructively built from a firm basis using a reasonable framework for expansion.

You see, we're doing that purposely since we have made the claim of bastardized mathematics causing too much influence with abstractions. Yes, indeed. In fact, too many manager types (without proper understanding of foundation issues) are running amok with applied mathematics. It's frightening. But, worse, it's sickening (and the academics are pushing this - making them pushers as much as is Ben).

Once, we get past origins, we'll have players, roles, and much more. Of course, as one would expect, bankers will come into view. And, investors, of course.

Again, are there timelines and outlines with this? Let's put it this way. We'll start at the beginning; we'll get side-tracked with current events (have to mouth off about those); there might be fits-and-starts since the exposition cannot be linear (chicken-egg thing -- found everywhere in economics - the one truism? Ego gets itself in there, perennially. We're going to try to thwart that tendency during this discussion.).


You see, as a look ahead, I've mentioned singularities, in a related context. That concept's use has several motivations, but the major one is to suggest that Black Swan thinking does not go far enough. In computation, we're talking entanglements that are unexpected (actually, they could be by design if the idea is to enhance the giant sucking capability) which have similarities to knotted manifolds (only possible in unreal worlds - hey, what is money in its current form?). However, Wikipedia has several connotations covered. In a computational situation, I've used vertigo (but that is more a reaction - behavioral view - a description of the underlying factors -- not talking causal, necessarily).


12/05/2013 -- If only Ben would put a shot across the bow.

09/18/2013-- Pop, fizz, ... Ben had to show largess because of idiots who ran the economy to the ground (rogues all around). Ben is going. What do we have to look forward to? Businessweek has a review issue (of the past five years). Several articles are especially interesting. Too, phrasing shines: spin dross into gold (in relation to mortgage bonds). Perhaps, we'll get back to some of the more pertinent ones, at some point. If we do, it would be to bring forward what has been said here, from the beginning. To wit? Tranche and trash (WSJ has a good take on that). Securitization? This article brings on weeping (one example of the misuse of mathematics and computing that has been harped about). Adoption, and improved understanding, of lazy evaluation let loose the powers that resulted in the wild web and its little children, namely social media and more. To grasp the problem, we have to go back to computing that is in some type of responsible area. Avionics comes to mind. If what is couched as software in looser domains (financial engineering? -- looser?, yes bailouts are the norm despite all of the protestations of the ruling elite; or the whole cadre of the poorer folk can just suck it up when there are problems in order to relieve the fat cats' loss) were to used in flight controls, would we not have planes falling out of the sky? We'll get back to the simple issues that seem to not be seen by the elites chasing after the bucks that Ben has been throwing out of his helicopter.

08/27/2013 -- We'll start it here. Let's look to an American logician for awhile. Bayes has had his run, okay? He was Brit. Non-conformist, which is nice. Charles Sander Peirce has more to say to the changes that need to be made. ... By the way, we've talked to the true cost of putting out financial software; we'll try to get a handle on that. You see, the cowboy way is prevalent in finance and web apps (under the guise of agility (ah, so nice to misuse that) or entrepreneurial freedom). Of course, in the former case (finance, of course), the game is to fill the pockets of the favored few.

08/27/2013 -- You hear a lot about liquidity in terms of capital and markets. Ah, keep the wheels greased, too. However, liquid is only one of several phases. In fact, solid was mentioned above which brings up a few connotations to consider. ... The gist of the matter is "liquidity" is really used to cover the fool's game that they have us wrapped into. How did Ben fall into the trap pulling us with him? Well, in the future, we'll have his explanations ad infinitum. In the meantime, the prominence of equity (oh yes, it has greatly enriched the few -- while impoverishing the world, essentially) will decline toward a more balanced view. In fact, we can think of "capital" markets not yet conceived which will come about from computational creativity (bitcoin might be an example, but it's a metaphor (now) as is Facebook thusly so in another area).

08/27/2013 -- Steve Ballmer of Microsoft is retiring. On the announcement, MSFT went up so that Steve's holding increased by nearly $1B (billion). In one day! We'll have to put Warren and Ben aside for awhile and look at Steve as some type of example. How to characterize this is a puzzle (not archetype, exactly). Of course, that increase is in an environment that was aerated by Ben (so he cannot be forgotten, for long). Steve's overall worth is in the range of $15B. I don't know where that ranks him, however the whole set of issues related to that crooked game can be analyzed using SB along with WB and BB. It'll be fun, but, firstly, there has to be the cosmology post dealing with origins.

08/25/2013 -- Some are talking the plumbing aspects, such as the conduits needed to move thing around; this type of talking is supposed to reinforce the notion of liquidity (which is bosh). Bankers have warped the space (over the decades - abetted by politicos). Who knows the truth? So, our look will be from basics which might get some perturbed since they deal with intricacies and complexities (yes, I know, the sandbox would be where these types ought to play so that we mature folks could have an economy that is worthy of our attention). You see, no one seems to talk want to talk the fundaments (used purposefully). But, just as our ideal is a government of the people (Constitutionally established, supposedly), so, too, is the economy for the people and not for those in the upper strata (higher ups) who seem to think that the rest are peons (little resources) for their beck and call. Gosh, the hubris that Wall Street brings out!

08/24/2013 -- A professor said that the systems are too complex, in respect to the market issue of Aug 22, 2013 (three hours of thumb twiddling). He said that these things are not tested. In a sense, the cowboy approach has been prevalent. The people push out changes as if we're to marvel at their talent and brains. We are to adopt the changes and adapt ourselves and our lives (sound like the internet?). We'll consider the computer, its advent, use, and future, in our discussion of cosmology.

Modified: 12/05/2013

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