Ending the Failure of “Too Big to Fail”
Eliot Spitzer is a former Governor of New York State. He served as New York State Attorney General from 1998 until 2006 and as the 54th Governor of New York from January 2007 until his resignation on March 17, 2008. He is currently a Slate magazine columnist and professor of political science at City College of New York.
Question: How can we credibly commit to not bailing out any more large firms?\r\n
Eliot Spitzer: Only by making them smaller. In other words, the “too big to fail” problem is at the heart of this and the institutions that got too big to fail that were overleveraged, that had a federal guarantee could again, absorb risk in their investment portfolio with the knowledge that if things went bad, they weren’t going to pay the price, taxpayers would. So, at the point of crisis, we couldn’t let the banks all fail because then we would have had a depression. So, there was an imperative to get cash into the system to ensure the solvency of the banks. The question is, what did we do in return? What did we get back from them? And that’s where Geithner and Summers failed. They didn’t ask for anything back. It was at that point we should have said. The nature of your investment portfolio has to change. What you do with the money has to change. And the size of the institution has to be limited. And so, that is the reform that we’re talking about.\r\n
You know, a lot of screaming and shouting about passing bills, giving enforcers more power. Enforcers didn’t need more power; they just needed to use the power they already had. And I think that is evident, not only from the cases that we made when I was Attorney General, but what they have been able to do over the past year. There hasn’t been a new law passed giving the Fed and other institutions more power. They finally woke up to the fact that they needed to use it. So, hopefully that is where we’re headed.
Recorded January 21, 2010
Interviewed by Austin Allen
How can we avoid having to bail out large firms in the future? Eliot Spitzer gives an emphatic answer.
Why self-control makes your life better, and how to get more of it.
(Photo by Geem Drake/SOPA Images/LightRocket via Getty Images)
- Research demonstrates that people with higher levels of self-control are happier over both the short and long run.
- Higher levels of self-control are correlated with educational, occupational, and social success.
- It was found that the people with the greatest levels of self-control avoid temptation rather than resist it at every turn.
Ready your Schrödinger's Cat Jokes.
- For a time, quantum computing was more theory than fact.
- That's starting to change.
- New quantum computer designs look like they might be scalable.
Quantum computing has existed in theory since the 1980's. It's slowly making its way into fact, the latest of which can be seen in a paper published in Nature called, "Deterministic teleportation of a quantum gate between two logical qubits."
To ensure that we're all familiar with a few basic terms: in electronics, a 'logic gate' is something that takes in one or more than one binary inputs and produces a single binary output. To put it in reductive terms: if you produce information that goes into a chip in your computer as a '0,' the logic gate is what sends it out the other side as a '1.'
A quantum gate means that the '1' in question here can — roughly speaking — go back through the gate and become a '0' once again. But that's not quite the whole of it.
A qubit is a single unit of quantum information. To continue with our simple analogy: you don't have to think about computers producing a string of information that is either a zero or a one. A quantum computer can do both, simultaneously. But that can only happen if you build a functional quantum gate.
That's why the results of the study from the folks at The Yale Quantum Institute saying that they were able to create a quantum gate with a "process fidelity" of 79% is so striking. It could very well spell the beginning of the pathway towards realistic quantum computing.
The team went about doing this through using a superconducting microwave cavity to create a data qubit — that is, they used a device that operates a bit like a organ pipe or a music box but for microwave frequencies. They paired that data qubit with a transmon — that is, a superconducting qubit that isn't as sensitive to quantum noise as it otherwise could be, which is a good thing, because noise can destroy information stored in a quantum state. The two are then connected through a process called a 'quantum bus.'
That process translates into a quantum property being able to be sent from one location to the other without any interaction between the two through something called a teleported CNOT gate, which is the 'official' name for a quantum gate. Single qubits made the leap from one side of the gate to the other with a high degree of accuracy.
Above: encoded qubits and 'CNOT Truth table,' i.e., the read-out.
The team then entangled these bits of information as a way of further proving that they were literally transporting the qubit from one place to somewhere else. They then analyzed the space between the quantum points to determine that something that doesn't follow the classical definition of physics occurred.
They conclude by noting that "... the teleported gate … uses relatively modest elements, all of which are part of the standard toolbox for quantum computation in general. Therefore ... progress to improve any of the elements will directly increase gate performance."
In other words: they did something simple and did it well. And that the only forward here is up. And down. At the same time.
These modern-day hermits can sometimes spend decades without ever leaving their apartments.
- A hikikomori is a type of person in Japan who locks themselves away in their bedrooms, sometimes for years.
- This is a relatively new phenomenon in Japan, likely due to rigid social customs and high expectations for academic and business success.
- Many believe hikikomori to be a result of how Japan interprets and handles mental health issues.
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