We are led by high-functioning sociopaths, in our politics and our economy, and nowhere is this more apparent than in our war against COVID-19. It’s not a left/right thing. It’s not a Republican/Democrat thing. It’s a power thing.
Enough. It’s time for the Pack to howl.
Empathy + Minimax Regret is the answer. Because 2 + 2 = 4.
Yes, this is a personal note. That’s what this war is for all of us … personal.
I’m angry that I have to write this note about the airline industry and how to structure the bail-out of United, Delta, American and Southwest. But I must, because the raccoons and the high-functioning sociopaths are looking to get their private losses socialized and their private gains locked in.
Bailout the airlines and their rank-and-file employees? You bet.
Bailout the CEOs and Warren Buffett? Not a chance.
The structurally bullish will warn us against failure of nerve. The traders will warn us against hesitation. The structurally bearish will warn us about being unable to shift into a defensive shape. But what we should be worried about now is a lack of imagination.
This is our personal effort to help identify *need*, *sources*, and *money* for personal protective equipment distributions to healthcare workers and first responders.
For the first time our federal government is treating the fight against this virus like the war that it is.
Is it pathetic and sad and a corrupt betrayal of the public trust that it took this long? Absolutely.
But now here we go. And there is no country in the world that mobilizes for war more effectively than the United States.
ET In Full
Early research on the relationship between informational surfaces and structural market change. epsilon-theory-dont-mess-with-mister-in-between.pdf (244 KB)
An analysis of systematic error in BLS data and its role in the Narrative regarding US labor conditions. epsilon-theory-jack-welch-was-right-october-29-2012.pdf (219 KB)
Early notes on investment as an exercise in decision-making under uncertainty. epsilon-theory-donald-rumsfeld-and-risk-management-october-7-2012.pdf (197 KB)
Growing political fragmentation in Europe and its structural consequences for markets. epsilon-theory-hello-darkness-my-old-friend-september-29-2012.pdf (123 KB)
An initial analysis of the Sept. 15th FOMC announcement of open-ended QE. epsilon-theory-dude-wheres-my-financial-repression-september-15-2012.pdf (191 KB)
Early notes on importance of Common Knowledge game in understanding market behavior. epsilon-theory-why-do-words-matter-so-much-august-30-2012.pdf (753 KB) Test: epsilon-theory-why-do-words-matter-so-much-august-30-2012.pdf (753 KB)
I believe it is impossible to separate the modern management practice of self-enrichment through massive levels of stock-based comp from the modern management practice of investor placation through massive levels of stock buybacks … without regulating one or the other practice.
But I’m all ears for any ideas.
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Covid-19 is a fertile ground for narratives and missionaries of all kinds – from politicians to central banks, corporate leaders and financial media pundits. Join us as we discuss them.