Tag Archives: derivatives

Of Groupthink, Financial Bubbles, and Lance Armstrong

Lance Armstrong got away with ringleading what now looks like a vast doping conspiracy, in part because the sports media refused to investigate what was right under their noses. Why? Because they were too invested in the heroic image that congealed around the Tour de France winner. In much the same way, groupthink in the financial media has repeatedly led our most prominent journalists to valorize hucksters and ignore scandals until they blow up into full-scale catastrophes.

Today’s New York Times includes a fine column by David Carr, taking the mainstream sports media to task as not-to-silent partners in the selling of the Lance Armstrong Legend. Carr gives the sports desk a good spanking. But the problem he describes is actually much bigger, extending deep into the business and economic coverage that is arguably the most critically important information we get from the media nowadays

Let’s review a bit of history. Continue reading Of Groupthink, Financial Bubbles, and Lance Armstrong

‘Understanding the Crash’ Made Easy … Well, Easier

Understanding the Crash (Soft Skull Press) starts with a simple question that still haunts us all: What has happened to the world economy?
Along with Seth Tobocman and Jessica Wehrle, I’ve co-authored a new book that explains how a housing bubble could build up and burst, triggering massive foreclosures, 10% unemployment, and a global recession. We take a concise, Continue reading ‘Understanding the Crash’ Made Easy … Well, Easier