Daily Speculations
The Web Site of Victor Niederhoffer and Laurel Kenner
Dedicated to the scientific method, free markets, ballyhoo deflation, value creation and laughter.
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Kim Zussman

Tales of Curves

All this talk of bell-curves and tails recalls the inexorable struggle and inevitable wealth-transfer between the statistically lowbrow, middlebrow, and highbrow regimes. This, the numerically proxied and furthest evolved version of the ubiquitous ecological struggle for mating rights, is an heroic sacrifice for the sake of Mr. DNA.

Sometimes you can X-ray this struggle by observing what people take when they are forced to evacuate. At the recent California brush fire, a reporter asked a woman what she grabbed as she piled into her car and fled. "My work shoes, the kid's schoolbooks, and my marriage certificate," she said. It was left to the imagination how she could show up for work only in shoes, educate missing children, and retain legal rights to fleeing or charred husbandry.

Many don't like the rawness of nature and competition. Take for example Sen. Hillary, who was on the tube this morning blowing on the fire heating up the Republican Gumbo. The idea is that it is unfair that those gifted with intelligence, work-ethic, and insomnia are so much better off than lesser breeds. And those breeds like to vote for helpers who help them, while helping themselves, because the helpers are from the top tail and have figured out how to be ranchers.

This tale has to do with experts too, since they are in some of the top tails and have learned to write books which explain how investing is a game made up by the smart to take from the dumb. And these experts are ranchers too because they herd the livestock with books and lectures and become respected intellectuals who go on to universities to teach the children at the tops of bell-curves.

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