Yachtie
Posts: 3593
Joined: 1/18/2012 Status: offline
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No, this is not about being on the cat walk. AGW, global climate change, economics, hurricane season, and other predictive models used to explain the why, when, and how, are all flawed. Period. QED! This does not reduce their usefulness to zero nor should it be stated that any model should be relied upon as determinative to action because it's the best we have at the moment. Models are but flawed indicators. Best when viewed with a skeptics eye. "It certainly looks like pretty much of a forecast bust," said Jeff Masters, a hurricane expert and director of meteorology at the Weather Underground (www.wunderground.com). "Virtually all the (forecast) groups were calling for above-normal hurricanes and intensive hurricanes and we haven't even had a hurricane at all, with the season half over," he said. The El Nino weather phenomenon - a warming of the tropical Pacific - which is part of the mix of unstable ingredients that can affect hurricane formation, is also not a factor this year, making the lack of storm activity harder to explain. "It's certainly a head scratcher," said Masters, who said he thought wind shear had been near normal this year and warmer than average sea temperatures in the Atlantic favored storms. He noted that dry air, from Africa as well as rarely mentioned flows associated with an extreme drought in northeast Brazil, may be a factor "helping to shut down this year's hurricane season." This also brings me to Paul Krugman's latest NY Times piece where he repeats his mantra that enough wasn't done. I'll leave it to you to go read it. Would his recommended amount of stimulus be correct? Is he looking via hindsight according to his macroeconomic textbook crystal ball? If not, does this piece jive with what he recommended years ago? Has his predictive model been impliedly updated to reflect changes not seen years ago? I think yes. It's listening to noise. So when one reads the threads about global climate change and the imperative to do something, remember that they too rely on flawed modeling. As an aside, this is one reason I'm an Austrian when it comes to economics. People, like mother nature, are fickle and do things not expected. Markets are like people and mother nature, moving in ways not modelable but in the shortest of terms. So be careful when someone says you should hang your hat on some model.
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“We all know it’s going to end badly, but in the meantime we can make some money.” - Jim Cramer, CNBC “Those who ‘abjure’ violence can only do so because others are committing violence on their behalf.” - George Orwell
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