by Edward Chancellor* Once upon a time, there was a factory in the Soviet Union that made nails. Moscow set quotas on nail production. When the quotas involved quantity, the factory churned out many small, useless nails. When Moscow realised its error and set a quota by weight instead, the factory produced big, equally useless … Continue reading THE TYRANNY OF METRICS, Jerry Muller, Princeton, 220 pp.
by Andreas Hoffmann and Mario Rizzo We had a look at the statistics of the blog when we updated the page. We learned that ThinkMarkets has published almost 800 blog posts since 2008. Some posts have received a lot more attention than others. We have selected an all-time TOP 5: TOP 5: Against all odds, … Continue reading Best of ThinkMarkets 2008–2016
by Gene Callahan There is always a temptation to think of a statistic as a simple, straight-forward fact: Numbers don't lie. Consider this statement from Newsweek from an article on structural unemployment in the US: 'Another theory is that Americans are less willing to move to take jobs. The McKinsey study reports that, in the … Continue reading Interpreting Statistics