The margin of error is usually defined as, "the radius of a confidence interval".
I don't know if any of you read the three part Wall Street Journal article on the Bear Stearns collapse, but it is worth reading if you can find it in the library or elsewhere.
The part that interested me was the reason stated for the Fed stepping in. It was the Fed's judgment, and that of other Wall Street luminaries, that a straight collapse would have driven the market down, "2000 points".
I think we should all contemplate that for a moment. It is easy to say, "Yes, but it didn't happen." Yet, my thought is, "It didn't happen, but what is the margin of error in a market like this?"
Are things that shaky? Apparently so.
boont
I don't know if any of you read the three part Wall Street Journal article on the Bear Stearns collapse, but it is worth reading if you can find it in the library or elsewhere.
The part that interested me was the reason stated for the Fed stepping in. It was the Fed's judgment, and that of other Wall Street luminaries, that a straight collapse would have driven the market down, "2000 points".
I think we should all contemplate that for a moment. It is easy to say, "Yes, but it didn't happen." Yet, my thought is, "It didn't happen, but what is the margin of error in a market like this?"
Are things that shaky? Apparently so.
boont