Business

I can illustrate the current situation in the form of a story. Two boys were being chased by a Tiger. One boy stops to put on running shoes, and the other boy says, 'What are you doing?' The first boy responds, 'I don't have to outrun the Tiger, I just have to outrun you'.

Chief Strategist & Senior Currency Strategist at Bannockburn Global Forex

Rather than the emerging markets, or weaker economies, this problem originated in the most sophisticated and advanced financial markets because those are the markets where leverage was the greatest and people took the most advantage of it.

Unknown.

Toyota's reputation for long-term quality is finished. People aren't going to buy Toyotas, period. It doesn't matter which model. What's happened is sufficient to keep people out of the stores.

Automotive industry analyst and consultant, known for expertise in car manufacturing.

the overall picture that's emerging is that the controls which still work operate more along corporate boundaries than along national boundaries.

Unknown.

It hurts the laggards and benefits the smart ones- the smart ones will take the advantages and not say anything, and the laggards will complain.

Leading economist specializing in European monetary integration and financial crises.

The case for free trade is much stronger than the case for free capital movement. The case for free capital movement is weak, because financial markets suffer from very serious failures (right now is a nice example of that).

Leading economist specializing in European monetary integration and financial crises.

So when the economy's booming, banks are going to need 9.5% common equity, 11% Tier 1 capital, and 13% Tier 2 capital.

Financial journalist and media critic specializing in economics and markets.

When credit in an economy is growing faster than the economy itself, a countercyclical capital buffer kicks in, which essentially says that banks need to have more capital in good times.

Financial journalist and media critic specializing in economics and markets.

Possibly the most important thing here is the existence of the first column, setting minimum standards for common equity — which is also known as core Tier 1 capital. Such standards did exist in the past, but they were set extremely low, at just 2%, and so were generally ignored.

Financial journalist and media critic specializing in economics and markets.

No more throwing any old garbage into the Tier 1 bucket and calling it capital: the new standards for common equity are significantly tougher than the old standards for Tier 1 capital in total.

Financial journalist and media critic specializing in economics and markets.

A speculative bubble exists when the price of something does not equal its market fundamentals for some period of time for reasons other than random shocks. [Fundamental] is usually argued to be a long-run equilibrium consistent with a general equilibrium

Mathematician known for Rosser's theorem in mathematical logic and computability theory.

We don't accept basis risk we don't accept counterparty risk- we don't want any fuzziness around what our payout is going to be conditional on the realising of this systematic left tail 'black swan' event.

Hedge Fund Manager & Author of "The Black Swan" Risk Management

I want to either hit a homerun or walk or even strike out. This means I fail far more often than I succeed. But the important point is that what I lose when I fail is trivial, epsilon compared to what I make when I succeed.

Hedge Fund Manager & Author of "The Black Swan" Risk Management

It's absolutely true that a lot of the time the market is indistinguishable from a coin toss. However, when the system is under some stress, when the market is undergoing changes, the coin toss model just doesn't work. The 'black swan' doesn't appear very often in coin-toss land but in agent based complex systems land, it appears quite a lot.

Physics professor studying complex systems, crowd behavior, and social networks.

The absolute biggest risk out there I can identify would be if something went really wrong with China as it is so important to the BRIC and global economic future. Luckily, I think it is a small risk.

Economist who coined the term "BRICS" for emerging markets.

The biggest opportunities relates to the branded companies who are excellent at exploring opportunities in the BRIC and N-11 world, especially those with a consumer brand that is difficult to replicate and compete with, for example German cars, Louis Vuitton.

Economist who coined the term "BRICS" for emerging markets.