The risks facing hedge funds are non-linear and more complex than those facing traditional asset classessuch risks are currently not widely appreciated or well-understood

Great investors need to have the right combination of intuition, business sense and investment talent.

My mother died of lung cancer last year. I felt helpless. As an economist, I thought, What can I do?

While neurological studies have tried to identify components responsible for fear and greed, the impact on finance is less clear.

Economists suffer from a deep psychological disorder that I call 'physics envy'. We wish that 99 percent of economic behavior could be captured by three simple laws of nature. In fact, economists have 99 laws that capture 3 percent of behavior. Economics is a uniquely human endeavor.

Labor is getting more expensive and technology is getting cheaper.

Maybe we should teach schoolchildren probability theory and investment risk management.