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No. There are absolutely no citations or specific examples. There is the claim that "every time a newspaper has attempted to clarify the concept of market 'vola
by cwyers 13y ago
No. There are absolutely no citations or specific examples. There is the claim that "every time a newspaper has attempted to clarify the concept of market 'volatility', it defined it verbally as mean deviation yet produced the numerical measure of the (higher) standard deviation," which is not an example, it's a fact claim without a shred of evidence behind it (and as it is an absolute claim, you only need to find one example of a journalistic article on the stock market that properly defines standard deviation to prove it wrong).
- baking 13y agoThe worst part about this is that it makes Taleb appear to be a complete idiot. Volatility under the Black-Scholes is the standard deviation of the daily price changes (log adjusted) not the standard deviation of the daily price. When the daily newspaper has a better understanding than the supposed expert it is just time to stop listening to said expert.