JordonCooper Rotating Header Image

Contextless Links

2 Comments

  1. Mike O says:

    > What do you do with all of those unsold cars?

    Rental fleets need about 1.8 million cars a year. All the renting companies want are “new” cars, they aren’t too worried about the model year. Granted, much of the overproduction is cars with option packages, not the usual stripped down models rental fleets usually like. So, they just raise the rental price a few bucks to cover the increased cost.

    I have a suggestion for the Auto bailout.
    Step 1: Reduce the UAW wages to parity with the average wage of those workers at stateside Japanese and German plants.
    Step 2: Reduce the salary of US Congressmen to the average wage of Japanese and German parliament members.

    :)

  2. Mike O says:

    > Michael Lewis is righting about the death of Wall Street

    Not sure if that’s a typo, or a Freudian slip? :)

    One of the best lines from this article is:

    Lomas Financial Corp. is a perfectly hedged financial institution: It loses money in every conceivable interest-rate environment.’

    *****

    In 2000, I was a test engineer for Intuit, the TurboTax people. I was testing the investment part of their products and noticed their stock rating system. Obviously, Intuit did not assign the ratings, the imported them from somewhere, but I noticed that their five number rating system was a bit skewed. I did a search for each rating, and expected them to be either a flat distribution (equal amounts of 1,2,3,4, 5) or sometning that vaguely resembled a bell curve (say, 10-20-40-20-10 percent), or just something symmetric, with equal amounts of 1 and 5, as well as 2 and 4. But I found the average rating was a 3.5 – highly inflated.

    I chalked it up to marketing hubris, not realizing, as Dan Gertner said, ‘I can’t figure this thing out.’