I originally wrote this in response to the ATCA Socratic Dialog regarding Black Swans.
There is a most excellent paper By Benoit Mandelbrot and Nassim Nicholas Taleb called
"How the Finance Gurus Get it all wrong"
http://www.fooledbyrandomness.com/fortune.pdf
There are three points that are relevant from the article.
“we live in a world of winner take all extreme concentration”
“The professors who live by the bell curve adopted it for mathematical convenience, not realism”
“Accelerating, widening a tragic gap between reality and the standard tools of financial measurement”
My thoughts…
Anyone betting on sustained ignorance is going to lose the bet
I think this is wisdom worth repeating
Anyone betting on sustained ignorance is going to lose the bet.
In a world where “the speed of knowing, has accelerated exponentially” ignorance and opacity do not stand a chance, and those that benefited from them and so supported them will no longer be able to.
And this includes a lot of things for example the current ignorance surrounding health care will soon be annulled and those industries with disease based revenue pipes will find them running dry.
This article supports my contention that what we see in the world today is reality is intruding upon the illusion that some would like to maintain. This illusion allows them to extort a disproportionate amount of wealth from the system that does not equal a genuine value contribution for the other economic system participants.
The Banksters and Wall Street Gamblers have depended on a general ignorance among the multitudes as to how the system actually works beneath the financial facade, however with the revelations being made the other economic system participants are seeing the light as to the cause of the disparity they experience. They will then seek to rectify it.
The new understanding that comes to mind after absorbing all this is quite simple and the executive summary is:
We have asymmetric threats simply because we have Asymmetric Systems that is to say we do not have systems designed to maintain balance and proportion among the participating entities. This reality is in conflict with the preponderant individual intention which is to gain the biggest portion of the pie as is possible with out regard to the others sitting at the table.
So in conclusion the only solution is complete systems redesign from the ground up from a holistic system perspective such that they will maintain balance and proportion in other words the creation of Symmetric Systems, which should now become our collective intention.
The system changes are highlighted on http://revolutions.me and even more detail regarding rediesgn of the financial systems and their flaws is on http://coinage.me
Hopefully this insight gets to BO because it will bring insight, direction and hope to the people lets hope "BO Knows"
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