Wednesday 15 June 2011

Bubble mania

The nature of the second decade of the 21st century seems to be able to create bubble mania. What I mean by this term is bubbles of all sorts from tech (which The Economist thinks there is a new one) to property; equity, bond, hedge funds, commodities.

I am wondering if normal distribution is applicable? Perhaps something adapted to it can be called bubble distribution with the mean and the variance not being zero and one.