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Nassim Nicholas Taleb on Black Swans, Fragility, and Mistakes

EconTalk

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The Bigger the Sample, the More Data the Better the Forecast

The whole essence of the econometric a priesthood is the idea that the bigger the sample, the more reliable the forecast. What i think view of that flaw is that we don't have any more data because the process that created the data is different in the process that existed before. So there are a lot of areas in which we can do some forecasting. For example, to morrow, when i'm looking out the window and i see a cloud, i can forecast the rain. Why? Because er, er, you know a rain. Forecasting doesn't is not in e complex domain. It depends how close iti to one day or two days. There's no mathematics on

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