Ben Hunt on Magical Thinking, Spell-Casting Econometric Models
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This is a special reprise edition of FS Insider which originally aired in September. Are econometric models like spells? No! According to Ben Hunt, author of Epsilon Theory, they ARE spells…just like those used by witchdoctors and shamanic priests of old. Today, they are called the Gaussian Copula and the Taylor Rule, written in an esoteric language only the very elite can understand. Ben Hunt Ph.D. is the Chief Risk Officer of Salient Partners and also the author of the popular online publication and newsletter Epsilon Theory, which examines the markets through the lenses of game theory, history, and behavioral analysis.
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