Friday, February 06, 2004

The process the Democrats are putting themselves through resembles John Maynard Keynes' famous description of the stock market. The game isn't to figure out which stocks are most likely to do well, but to figure out which stocks other investors think are most likely to do well. And these other investors are thinking of other investors and so on. Keynes thought this helped to explain the volatility of stock price. Your judgment about other people's judgment, let alone other people's judgment about other people's judgment, is inherently less certain and more subject to breezes of false or true insight and information than your judgment about your own judgment.

12:38 PM |