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There's also this: physics PhDs are responsible for the economic crisis:

The Agonist: Between Culture and Nature on Planet Earth

The reason Epi-cycles lasted for 1500 years was because it was far easier to add a patch whenever an anomaly came up, than to go back and rethink the entire theory. Now we have dark matter and energy. Math has to deal with the very fact that its precision can also be a weakness, if factors are overlooked. Just look at the physics PhD's who went to Wall St. and created enormous securities bubbles because they didn't consider the pedestrian element of declining house prices.
Therefore, the standard cosmological model is wrong.

The peak-to-trough part of the business cycle is an outlier. Carnot would have died laughing.
by Migeru (migeru at eurotrib dot com) on Mon Jul 13th, 2009 at 07:16:55 AM EST
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By the way. To what extent were those ex physics PhD students aware that they are doing bogus science for the banks & brokers?

*Lunatic*, n.
One whose delusions are out of fashion.
by DoDo on Mon Jul 13th, 2009 at 07:48:28 AM EST
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I'm not sure mathematical finance is bogus.

The peak-to-trough part of the business cycle is an outlier. Carnot would have died laughing.
by Migeru (migeru at eurotrib dot com) on Mon Jul 13th, 2009 at 09:03:03 AM EST
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Often they weren't.

The trouble happens when you take the models and ignore the limitations because you damn well want to.

by Colman (colman at eurotrib.com) on Mon Jul 13th, 2009 at 09:09:19 AM EST
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