Banditry

Northern Rock and moral hazard

People have been blethering on about the 'moral hazard' created by government deposit insurance for banks. Unfortunately, they're idiots. Deposit insurance *does not* encourage financial institutions' shareholders to invest in risky assets, because it doesn't prevent the shares from losing all their value when the risky assets go tits-up and the company goes bust. Since … Continue reading Northern Rock and moral hazard

Two exciting data points

#1: I'm the top hit on Google Hong Kong for "senior accounting partner glamorous life". Hurrah! (note: I'm not a senior accounting partner, despite my glamorous life). #2: a right-wing nutcase (with the amusing trait of pretending not to be right-wing, which is easier to do if you oppose extra-judicial punishment beatings) is trying to … Continue reading Two exciting data points

160? We like

Ignore the pointless new wi-fi iPhone-with-no-phone device (although it'll serve as a good badge of 'who is a tosser'). The truly excellent news is that a 160gb iPod is soon to be available. I reckon that'll last me at least another year of music... Unrelatedly, I've got another Sharpener piece up about the Tube strike … Continue reading 160? We like

In which the ‘exciting content’ meter hits a new low

Accounting isn't a topic of wide general interest. Nonetheless, accounting professor Prem Sikka's CIF piece on the International Accounting Standards Board is one of the more bizarre and surreal things that I've ever read. The point of International Accounting Standards is to ensure comparability of accounts of companies that report their financial results in different … Continue reading In which the ‘exciting content’ meter hits a new low