How Yves Saint Laurent and Pierre Berge made life miserable for Tom Ford in Paris, France

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Tom Ford:

I don’t even remember much about my time at Yves Saint Laurent, though I do think some of my best collections were [there]—other than that black-and-white initial one. That one wasn’t very successful and wasn’t very good. But being at Yves Saint Laurent was such a negative experience for me even though the business boomed while I was there. Yves and his partner, Pierre Berge, were so difficult and so evil and made my life such misery. I’d lived in France off and on and had always loved it. I went to college in France. It wasn’t until I started working in France that I began to dislike it. They would call the fiscal police, and they would show up at our offices. You are not able to work an employee more than 35 hours a week. They’re like Nazis, those police. They’d come marching in, and you had to let them in and they’d interview my secretary. And they can fine you and shut you down.

Pierre was the one calling them. I’ve never talked about this on the record before, but it was an awful time for me. Pierre and Yves were just evil. So Yves Saint Laurent doesn’t exist for me.

Wow.

Jason Ruspini is against the Tobin Tax.

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Jason Ruspini:

Stock market winnings are taxed. It&#8217-s called capital gains, and the rate for short term trading of stocks is the normal income rate for individuals.

Of course, this tax will be felt for ordinary investors that hold mutual funds. If the average mutual fund has 100% annual turnover, a 1% tax becomes 2% in additional fees per year, or almost 50% over 20 years. You are arguing for making retirement more difficult.

Most fundamentally though, high frequency trading did not cause the crisis. If anything there was too little, not too much, pricing of mortgage securities. Think about it: even if high frequency trading increases daily volatility, that is not the kind of volatility people care about. People care about booms and busts in asset prices. They care about volatility at the monthly and annual level, which short term trading naturally has less to do with. Higher frequency traders buy AND sell.

Do not confuse flash trading with high frequency trading. Do not confuse problems related &#8220-short-termism&#8221- incentive effects with short term trading. Do not confuse volatility over short time frames with longer term volatility that actually affects peoples&#8217- lives.

A transaction tax might reduce volatility over short time frames, but it will probably increase the serial correlation of markets &#8212- their momentum &#8212- which may increase volatility at longer, more relevant, time frames. If trading is more expensive, booms and busts will be more prolonged.

Inkling Marketss Adam Siegel needs salad leaves to relieve tension.

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salad-leaves

If you listened to that &#8220-lecture&#8221- at Kellogg, send me an anonymous e-mail to cfm &amp-&amp-AT&amp-&amp- midasoracle **+DOT+** (-com-), and tell me how it went and whether Adam has convinced you of the usefulness of enterprise prediction markets.

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Economist Brad DeLong has received a DMCA takedown notice from HarperCollins, publisher of Steve Levitt and Steve Dubners SuperFreakonomics.

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Brad DeLong has received a DMCA takedown notice from HarperCollins.

http://delong.typepad.com/files/superfreakonomics-chapter-5.pdf

Is SuperFreakonomics author Levitt again denying the ‘unequivocal’ scientific evidence for global warming? New Yorker’s Kolbert calls book a form of “horseshit.”

One error retracted, 99 to go. Superfreaknomics authors will, in future editions, correct their claim that Caldeira believes “carbon dioxide is not the right villain”.

Ken Caldeira’s Carbon Solution

The prediction market industry ditches John Maloney -finally.

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It was about time, and it is good news.

From: Emile Servan-Schreiber, NewsFutures

To: all friends of prediction markets:

A number of us have been talking recently and we are in agreement that the existing forums for prediction market enthusiasts and watchers, owned and controlled by single individuals, are lacking. We think the industry deserves its own independent, open, community-owned discussion forum. As such, we have created a new Google Group dedicated to fostering and furthering high-quality open debate and communication about prediction markets: the R&amp-D, the theory, the practice, the industry developments and upcoming events.

We strive for an open discussion and we commit to run the group with transparency, openness, objectivity, and independence. But we also believe some ground rules are needed to maintain a high quality of conversation that minimizes advertising, second-hand PR, or anyone monopolizing the conversation. We think some vigilance along those lines will make a positive difference in the communication and discussion. We hope you do too!

To join our new discussion group, click here:
http://groups.google.com/group/prediction-markets-open-discussion

Sincerely,

Oliver Bernhard Pedersen
Jed Christiansen
Bo Cowgill
Forrest Nelson
David Pennock
Emile Servan-Schreiber
Adam Siegel
Justin Wolfers

http://www.pmindustry.org/

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