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Soc Sec XX: Reframing the Trust Fund

…last myth, that of prefunding. When you think about Social Security in terms of a reserve fund whose measure of adequacy is a TF ratio of 100, you have to…

OCC and Model Validation Part 1

…never matches those assumptions perfectly. That’s why model results can’t be blindly accepted as “the answer” on capital adequacy or anything else for that matter, he said. “Models don’t build…

Entrepreneurs and image problems

…into who gets the highest scores or prestige scores, eventhough the test themselves are not designed for individual or even group achievement, but baseline adequacy of the system and meeting…

Habemus Bad Bank

…It is reasonably likely that at least some will have to issue new common stock (diluting the old stock) to satisfy capital adequacy requirements. Italian firms actually do this (I…