Back Not boring finds for this week October 3

(Not) boring finds for October 2018

October 3, 2018

Our reading list this week considers factors leading to the next market correction; stock-based compensation; golfing economists; and the pitfalls of generalization.

Project Syndicate  – The Icarus Economy

A mini series of mini articles trying to get a sense of what the next market correction could entail.

Pieces include: “What Next for the U.S. Stock Market?”; “The Depth of the Next U.S. Recession”; “Are Trump’s Policies Hurting Long Term U.S. Growth?”; “Trump’s Strong Dollar Weakness”; and “America’s Hidden Debt.”

Epsilon Theory – But our interests are aligned!

We think this article highlights how difficult it is for investors to get as close to the truth as possible in the decision-making process. 

 Golf Digest – The winner of the Nobel Prize in economics has ideas for the game

A round of golf and 20 questions with Nobel prize-winning economist Richard Thaler. Teed-up topics include golf, inertia, and of course, a bit of economics.

Farnam Street – The disproportional power of anecdotes

The tendency to generalize is a pervasive bias that renders decision-making an exercise of “mistaken extrapolation.” It is important to challenge anecdotal information sources and seek larger sample sizes.

This blog and its contents are for informational purposes only. Information relating to investment approaches or individual investments should not be construed as advice or endorsement. Any views expressed in this blog were prepared based upon the information available at the time and are subject to change. All information is subject to possible correction. In no event shall Mawer Investment Management Ltd. be liable for any damages arising out of, or in any way connected with, the use or inability to use this blog appropriately.