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Compared with my colleague, I had accomplished so little over such a long career; my two measly books were more like an embarrassment, given his output. Robert Merton was 46 when he won the award. Merton had the office on the other side of my office. You see the problem.
I was thinking about that story by Thomas Merton during a recent board meeting. Recent market updates, a technical deconstruction of various trends, then product frameworks — all in quick succession. Early on in our careers, we might speak up without concern or context. One board member sighed deeply.
In slightly more formal terms, Id suggest that they were able to take on, at least in tiny part, five of Robert Merton and Zvi Bodies six standard functions of a financial system: settling payments, providing information, setting incentives, pooling resources, and transferring resources.
Ask them if they apply much else from else from economics in their actual business careers, and you’re likely to hear “not much.”. Economists and market design. Most markets “clear” by having prices signal producers to make just enough that purchasers are willing to purchase. Here a few notable examples.
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