<t>Can anyone pm me solutions or point out a course site with selected solutions to Rosenthal's book? I'm trying to self-teach measure theory. I have the Capinski book and, fortunately, there are solutions in his book. Rosenthal's is a wonderful book with many great exercises but, unfortunately, the...

<r>In a post someone just asked about the assumptions that must be satisfied in the classical linear regression model so that the parameter estimates are unbiased/consistent/efficient/etc. My question here is similar: what assumptions for the market for some asset must be satisfied so that there is ...

<t>QuoteCan anybody please explain me why these assumptions are required for this model, and what happens to the result of this model if these assumptions are violated? First off, for your question to make sense you need, e.g., "to produce consistent/unbiased/efficient parameter estimates" to follow...

I know my question isn't incredibly well-informed (I'm new) but is there a reason no one seems to be responding? Do I need to refine the question in some way?

<t>"Options specialists on the buy side are most likely to find themselves in a risk management role where portfolio managers use them to help hedge against risk they, the managers, don't like"This was mentioned to me today. Any thoughts? Are there not many options specialists who speculate in optio...

<r>Yeah, I'm not sure I know enough to speak to some of the points below...but it'll be fun trying QuoteOriginally posted by: Traden4AlphaI have some healthy disagreements to the good points that Brianjd raised:My (limited) understanding is that a "gold standard" implies some obligate link between t...

<t>I have some healthy disagreements with Traden4Alpha below:QuoteOriginally posted by: Traden4AlphaAs much as I agree with Ron Paul on many areas, on this one I think he's deeply wrong. A gold standard would the last thing the U.S. needs due to five severe flaws with gold as a backing for currency:...

<t>QuoteOriginally posted by: jimjamGold seen as alternative ccy to USD, Investment flows from USD to gold when american economic news is bad (eg payrolls)Gold is certainly an alternative store of value to the dollar...but I'm not sure what you said actually explains WHY gold assets would be accumul...

<t>This is the way I think about it: If inflation ACTUALLY increases, by the PPP condition (which only holds strongly in the very long run) the value of the dollar decreases. Also, gold prices are in nominal terms, so if the nominal price level increases in the economy because of inflation, so to wi...

<t>QuoteOriginally posted by: Traden4AlphaThe suspicion is mutual. Exaggerating, somewhat, Wall Street sees the economists as Ivory tower egg-heads that couldn't trade their way out of a paper bag. Economists see Wall Street as populated by a motley assortment of shysters and gamblers. At the heart ...

<t>Thanks for the reply wolf87. responses belowQuoteOriginally posted by: wolf87I'm currently running econometric models with a quant in an interest rate group, and, even though what you describe isn't frequently used, it can be done. There are some papers on combining no-arbitrage modeling with mod...

<t>Thanks for the reply wolf87. responses belowQuoteOriginally posted by: wolf87I'm currently running econometric models with a quant in an interest rate group, and, even though what you describe isn't frequently used, it can be done. There are some papers on combining no-arbitrage modeling with mod...

<t>QuoteOriginally posted by: u418936You're describing the Lucas critque, which has been around for at least 30 years and is very famous. For the last 30+ years, macroeconomists have been building models on microfoundations, so they've been avoiding the problems you've described.Exactly! Macroecon m...

<t>MAIN QUESTION: how seriously do those in quant finance take market analytics (the finance/econ theory stuff that is not easily quantified)?CLEARING THIS UP: i've just recently started cruising the wilmott forums and it appears that the general quant approach to forecasting is a data mining approa...

<t>thanks again for all the pointers twofish. responses belowQuoteOriginally posted by: twofishAnd a lot of the questions that have to do with C++ have to do with knowing the silly, stupid ways that C++ can trip you up. One book that you need to read is Dewhurst's "C++ Gotchas" or Scott Meyer's Effe...