Frank Knight, an economist, formalised a distinction between risk and uncertainty in his 1921 book, Risk, Uncertainty, and Profit. In his classic book, Knight introduced a distinction between measurable uncertainty, which he called “risk,” and “true uncertainty,” which cannot “by any method be reduced to an objective, quantitatively determined probability.”
Tag: Risk & Uncertainty
“A ship is safe in harbor, but that’s not what ships are for.”
Social Bubble: Welcome Development or Social Nightmare?
Drastically limiting people's contact with others seems to be helping the countries stem the spread of the Coronavirus. But as economies slump, curve flattens, and people become fatigued with restrictions, governments around the world are now facing the challenge of how to ease their citizens out of lockdown without risking a second wave of infections, and …
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The Hellish Side of Handwashing
Washing your hands is important. Please do it. In the morning, one of my school friends, Aranjit commented casually on our WhatsApp group that coronavirus may leave many of us a prisoner of OCD — obsessive-compulsive disorder. The rapid spread of the new coronavirus has health officials scrambling to educate the public on good hygiene …
Coronavirus is as economically contagious as it’s medically
Earlier this month, G7 finance ministers and central bank governors vowed to use “all appropriate policy tools” to contain the economic threat posed by the coronavirus. The question left unanswered is what is appropriate and what will work. The immediate response took the form of central bank rate cuts, with the US Federal Reserve fast off the …
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Road Trip: Lachen-Gurudongmar Lake-Chopta-Kala Patthar-Lachung
Gurudongmar lake is located at a surface elevation of 17,800 ft (5,430 m) and covers an area of 290 acres making it the largest lake in the whole of Sikkim. The India-China border is just a few kilometres away from the lake. This lake is considered very sacred by both Buddhists and Hindus. Guru Padmasambhava (8th century) and Guru Nanak (15th century) had blessed this lake.
Hackers Program ATMs to Spew Cash
As ATMs have become ubiquitous, so too have attacks that turn these automated tellers into robotic thieves. In July 2016, a group of masked cyber-criminals cashed out 34 ATMs operated by the First Commercial Bank, one of Taiwan’s largest banks. Criminals had collected more than 83.27 million New Taiwan dollars (US$2.6 million) in cash — without using ATM cards. The criminals did not physically damage the ATMs, nor did they use skimmers or bank cards.