Business
Sweden’s COVID-19 experiment holds a worldwide warning – The Australian Financial Review
One great pandemic fallacy is the idea that you can compare the infection rate of one country with that of another and draw policy conclusions in real time.
Years ago, when I was researching the asset bubble that later gave rise to the 2008 financial crisis, I studied value-at-risk data for banks. These statistics are the way bankers measure their risk exposure on a day-to-day basis. Back then, senior bank executives treated VAR like football scores, looking for winners and losers.
I found that the tiniest shifts in a measurement parameter had massive implications on the final result. The obvious conclusion is that you cannot reduce something as co…
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