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The UK’s Coronavirus Policy / Corporate Socialism

The UK’s coronavirus policy may sound scientific. It isn’t  (The Guardian)
Nassim Nicholas Taleb and Yaneer Bar-Yam
Wed 25 Mar 2020

Our research did not use any complicated model with a vast number of variables, no more than someone watching an avalanche heading in their direction calls for complicated statistical models to see if they need to get out of the way.

Corporate Socialism: The Government is Bailing Out Investors & Managers Not You (Medium)
Nassim Nicholas Taleb with Mark Spitznagel
Mar 25, 2020

Why should we spend taxpayer money to bailout companies who spent their cash (and often even borrowed to generate that cash) to buy their own stock (so the CEO gets optionality), instead of building a rainy day buffer? Such bailouts punish those who acted conservatively and harms them in the long run, favoring the fool and the rent-seeker.

 

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