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« Margin Debt and Sentiment | Main | Pinch-hitting for Lenny »

February 25, 2007


marlyn trades

The problem isn't making relationships where none exist the problem is that our legislatures at all levels make public policy based on such relationships because that's what the largely innumerate and illiterate population believes.


Nice post, although on the very last point, I don't think that all research reports necessarily need to openly question causality between hypothesised relationships.

If the audience is the general public, then it may be more appropriate to mention questionable relationships, but when it comes to research reports targeted at a specialist audience, many reports seem to adopt the view that their role is to put forward a specific hypothesis or theme and not to spend too much time picking holes in it i.e. there seems to a kind of unwritten acceptance that even though a great many proposed linkages in financial markets and the economy may be spurious, life goes on, and ideas must be generated and put forward with confidence.

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