bchadwick Wrote:
-------------------------------------------------------
...
> Strangely, when I did calculus in high school, I
> could understand the physics applications pretty
> well, but when they tried to do the economics
> applications, it all seemed very weird and
> implausible to me (some of it still does) ...
Maybe they apply calculus on things that doesn't really let itself being modelled in that way and you're too good at math to get fooled by it. For some reason answering your entry, Chad, made me think of LTCM and *this* quote from http://www.sjsu.edu/faculty/watkins/ltcm.htm:
"Long Term Capital Management (LTCM) was a hedge
fund located in Greenwich, Connecticut. The founders
included two Nobel Prize-winning economists, Myron
Scholes and Robert C. Merton. Scholes and Merton,
among other things, developed along with the late
Fischer Black, the Black-Scholes formula for option
pricing. LTCM also included as guiding spirit John
Meriwether, a former vice chairman of Salomon
Brothers and famous bond trader. David Mullins,
a former vice chairman of the Board of Governors
of the Federal Reserve System was also part of the
LTCM team. Also several important arbitrage analysts
from Salomon Brothers joined LTCM. Eric Rosenfeld left
Harvard University to join LTCM. It was a very elite group."
Edited 1 time(s). Last edit at Tuesday, August 7, 2007 at 08:17AM by wawa.