Sex and statistics
The summary is that conditional on their average beauty rating, the women with more variable ratings get more interest. The post proposes a theory that there is less competition for someone when not everyone is attracted, so they are more worthwhile to pursue.
The topic of the post is the market for love (or a proxy thereof), but could it apply to markets for assets as well? If so, perhaps it is a piece of the volatility puzzle.
The eFinancialCareers Investment Challenge is sponsored by Bank of America Merrill Lynch. Registration has already opened. The trading period is 2011 January 17 to 2011 February 18.
Falkenblog had the post Forecasting Charlatans. My favorite sentence:
In selling forecasts to the masses, honesty is a strictly dominated strategy.
Tim Harford wrote Outside Edge: Of turtle doves and inflation hawks. This includes the situation of petrol (translated into American, that’s “gasoline”) prices shooting up when the price of oil rises, but slowly coming down when oil prices fall.
I have no difficulty finding evidence that people think that happens. But the statistician in me wants to know if that really happens. Where’s the data?