Nov

9

 The reason the NY sports teams perform so much worse than their inflated salaries would predict is that they suffer from the diffuse and variegated nature of culture in NY, so that other things besides sports can take center stage, the way sports do in smaller cities. All the best soccer teams tend to come from midsized industrial cities where the only activities that holds everyone together is the sports team. And players come there knowing they will be lionized. On another front, the big cities demand high visible stars as an offset to all the other things they can idolize. And the owners have to give the fans what they want by hiring stars in their 30s, in the declining years of their ability, to give the fans a rise, and that decimates their bottom line and ability to field good teams. It's related to a line of studies now being bruited in the academic literature that shows that the size of the chairman's signature in the annual report is inversely related to performance.

Anatoly Veltman writes: 

I wonder if the gold market reflected that phenomenon last week. First came the news of record Bank of Russia purchases in September that catapulted them into the world fifth size of ownership among the sovereign Central Banks. The gold market promptly plunged to a new four year low on the news. Then on Friday, their Chair said they might sell some gold to defend the rouble–and the gold market erupted higher to score its best rally of the year.


Comments

WordPress database error: [Table './dailyspeculations_com_@002d_dailywordpress/wp_comments' is marked as crashed and last (automatic?) repair failed]
SELECT * FROM wp_comments WHERE comment_post_ID = '9796' AND comment_approved = '1' ORDER BY comment_date

Name

Email

Website

Speak your mind

Archives

Resources & Links

Search