After the black swan istot, i realize that complexity cannot tolerate leverage any more. Coupled with a rising complexity, means you can deliver the world, can deliver large deviations very quickly,. And we see that in commodity prices as well. Soat such a sharp rise in response to a very small and balance and demand followed by such a rapid collapse. Were now in march and early march. And not long ago we were talking abouthe inflation. And now peeple ar talk about this lation. When i don't want i paint this is just disaster. There're many wonderful things about it. Look at you rigt own oting. It does provide a mecin
Nassim Taleb talks with EconTalk host Russ Roberts about the financial crisis, how we misunderstand rare events, the fragility of the banking system, the moral hazard of government bailouts, the unprecedented nature of really, really bad events, the contribution of human psychology to misinterpreting probability and the dangers of hubris. The conversation closes with a discussion of religion and probability.