Wall Street Today
Thomas F. Cooley is the Richard R. West Dean and the Paganelli-Bull Professor of Economics at New York University Stern School of Business, as well as a Professor of Economics in the NYU Faculty of Arts and Science. He was appointed Dean of NYU Stern in 2002.
The former President of the Society for Economic Dynamics and a Fellow of the Econometric Society, Dean Cooley has received numerous awards for his teaching and is recognized as a national leader in both macroeconomic theory and business education. He is a widely published scholar in the areas of macroeconomic theory, monetary theory and policy and the financial behavior of firms.
Before joining NYU Stern, Dean Cooley was a Professor of Economics at the University of Rochester, University of Pennsylvania, and UC Santa Barbara. Prior to his academic career, Dean Cooley was a systems engineer for IBM Corporation. Dean Cooley received his BS from Rensselaer Polytechnic Institute, and his MA and PhD from the University of Pennsylvania. He also holds a doctorem honoris causa from the Stockholm School of Economics.
Question: What is the state of Wall Street today?
Thomas Cooley: Well, Wall Street has already had something like 30 or 40,000 layoffs and there are more coming. So Wall Street is going to retrench for sure, for a while. Investment banking has slowed down. And one of the consequences of the problems in the credit markets has been that a lot of private equity, the big blockbuster private equity deals have dried up. A lot of them have not been completed and won't be completed. So there is a problem there, I think. But at the same time, there are other people on Wall Street who make money from restructuring, from-- they make money from turnarounds, bankruptcy turnarounds. So people in that business, or that part of Wall Street, are very happy, they're doing well. We expect to see more bankruptcies in the corporate sector, we expect to see more turnarounds, more workouts. And so they're always investment bankers happy to work in those kinds of deals.
Question: Where do see it a year from now?
Thomas Cooley: I think it'll be on its way back, a year from now, but slowly. I think it will take a while for these credit problems to work themselves out of the system, in part because a lot of people don’t understand all of the issues that are out there. There are other kinds of loans besides mortgages loans that are potential sources or problems. Student loans are problem area that is now beginning to make headlines, so.
Thomas Cooley: Well, the student loan industry grew in much the same way that the mortgage industry grew. That is, there were lenders willing to make loans. There are government agencies that would guarantee them, and then these loans would get securitized, packaged, wrapped, as they say. They would be insured and then sold as investment vehicles for lots of people around the world. Now, the problem is that one of the most important companies that insured these loans went out of business and the market for selling the securitized loans has just disappeared. You can't sell them now. So there is a lot of talk about whether the government is going to step in and buy them because, if–– you know, it's just like a bank, it needs to sell these things in order to have more money to lend. And so there are lots of concerns now that they can't be sold, that eventually banks are going to want to get out this business.
NYU's Thomas Cooley discusses the state of Wall Street today and where it's going.
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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