Conservative Economics

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Subject: Wikipedia

Wikipedia is a free, web-based, collaborative, multilingual encyclopedia project supported by the non-profit Wikimedia Foundation. Its name is a portmanteau of the words wiki (a technology for creating collaborative websites, from the Hawaiian word wiki, meaning “quick”) and encyclopedia. Wikipedia’s 14 million articles (3.1 million in English) have been written collaboratively by volunteers around the world, and almost all of its articles can be edited by anyone with access to the site. It was launched in 2001 by Jimmy Wales and Larry Sanger and is currently the largest and most popular general reference work on the Internet. (Wikipedia Feb 2010)

Post Modern Security Analysis

Collaborative research

We evaluate a pearl by comparing it to others ...

The complexity of modern capital markets and the flood of relevant information on the Internet have made the security analyst’s job more difficult.

Traditional commercial sources of investment data no longer adequately cover the market.

Collaborative research techniques offer competitive advantage to forward-looking institutions.

Post Modern Security Analysis

Crowdsourcing opinion is not factual research

A typical stock report

Post Modern Security Analysis calls for facts, not opinions. Collaborative research, not the crowdsourcing of opinion, is required.

A tsunami of raw, unanalyzed open source information now overwhelms the market, calling for new tools and new ways to motivate researchers.

To this end, Capital Market Wiki has tweaked the Wikipedia model, added a semantic structure and built-in incentives, and has created a system for collaborative investment research.

Post Modern Security Analysis

Crowd sourcing investment research

Free information bears the cost of time

Free, easily available investment information is largely unexploited. This is because there is too much of it.

Information, to be useful, must be processed. This processing has a time cost.

This article describes how new technology allows securities research to evolve beyond the industrial techniques of the 20th century.

Crowd sourcing and collaborative research, semantic wikis, and Capital Market Taxonomy are discussed in this article.

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Featured articles on inside pages

Stock buybacks

Stock buybacks dry up

Since 1982, US equities have been driven upwards by stock buybacks. Federal Reserve statistics show corresponding sales of stocks as executives exercised options to take advantage of manipulated prices. More ...

Securities Analysis

Can index funds protect you against inflation?

Historical evidence suggests that equities do not offer fool-proof protection against inflation. Inflation brings high interest rates, confounds accounting practices, and is associated with bad government. More ...

US Politics

President Obama and the Lincoln Bible

The Crash of 2008 put Barack Obama in the Oval Office and was the culmination of two secular financial trends. Americans now have an untested, inexperienced leader, with strange radical friends and a leftist deficit spending agenda. More ...

US equities

Do stocks offer protection against inflation?

There is a common belief that a managed, diversified portfolio of US common stocks provides protection against inflation. However, there is reason to question whether this protection currently exists.
More ...

US Bonds

Bond demand exceeds supply for a decade

Over the decade, 1995-2004, the demand for US bonds of all types has surpassed new bond issues in eight of the last ten years. This is the reason that bond prices have held firm, even in 2003, when net new issues reached almost $1.8 trillion. More ...

World Economy

Working off the US trade deficit

Foreigners hold $16.8 trillion in US financial assets as a result of selling more goods to Americans than they buy from them. Since the 'deficit' is in dollars, the US has no problem in 'paying it off'. More ...

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2010-08-06 16:05