The Federal Reserve system used to fund a ton---most of it by monetarists and other anti-Keynesians.
When I studied the subject, the backlash against the old-time Keynesians was wide, broad, deep and severe. They were held in contempt. And the models were mostly gameplaying attempts to prove the effect of a single variable, or show that more "choice" was always Pareto optimal.
Another fail.
Posted by euzoius at March 1, 2009 10:58 AMAh, the models... My wonder about these models as with those being used by the global warming. They're all fragile and incomplete.
"financial engineers are extremely bright, and it is almost inconceivable that such bright individuals did not understand the limitations of the models."
Are you so sure? Practicing their craft with tunneled support. Aren't they usually supported by those wanting a result? Look at Larry Summers, he's now in somewhat control of our policy, yet he guided Harvard down a path that's created problems for this institution that had billions in reserve. Look at Robert Rubin, now one of President Obama's advisers, what happened at Citigroup? Why do we have a 36% stake of this bank? Where did he guide them? The Sec of Treasury in charge of the NY Fed, what steps did he take to prevent those under his supervision from failing? Where were his alarms set?
Posted by peter at March 1, 2009 11:09 AMPants pissin pete, who writes the talking points bullshit you post? Is it unfiltered straight from the gop gossip-propaganda mill? Why do I ask? Its the same,lame crap 24/7 from you assholes...
Posted by headxray at March 1, 2009 04:45 PM