Some really interesting points in her negative review of Nate Silver's book: "In baseball, a team can’t create bad or misleading data to game the models of oth

Some really interesting points in her negative review of Nate Silver's book: "In baseball, a team can’t create bad or misleading data to game the models of other teams in order to get an edge. But in the financial markets, parties to a model can and do. ...Silver gives four examples what he considers to be failed models at the end of his first chapter, all related to economics and finance. But each example is actually a success (for the insiders) if you look at a slightly larger picture and understand the incentives inside the system. ...Silver confuses cause and effect. We didn’t have a financial crisis because of a bad model or a few bad models. We had bad models because of a corrupt and criminally fraudulent financial system. ...Silver has an unswerving assumption, which he repeats several times, that the only goal of a modeler is to produce an accurate model." Her other examples are things like pharmaceuticals research. http://www.nakedcapitalism.com/2012/12/cathy-oneil-why-nate-silver-is-not-just-wrong-but-maliciously-wrong.html http://www.nakedcapitalism.com/2012/12/cathy-oneil-why-nate-...