A superb article in Economist on 4 laws of banking/finance (HT: Browser.com). Another finance sector bashing article.
The four laws are:
1. The laws of supply and demand do not apply. (In terms of wages of financial sector. More the applicants for i-bank etc jobs, higher are the salaries!!)
2. Success is down to my genius; failure is caused by someone else. (Something which Prof. Kahneman put up nicely)
3. What is lucky for an individual trader may be unlucky for the bank as a whole (he may have taken higher risks to boost his bonus which is revealed later)
4. Resigning can be a retirement plan. (lol)
More to come…
