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No one in government really wants to reduce poverty. If they did, they would promote the four simple steps proven to reduce it: providing quality education, encouraging working, encouraging marriage before procreation, and encouraging avoidance of alcohol and drug use.

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Highly Recommend: Duelling Idiots and Other Probability Puzzlers, Paul J. Nahin; Design for Decision, Irwin D. J. Bross; Against the Gods, Peter L. Bernstein - Learn the math

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Defining risk is tough enough, even tougher is we are raising an entire generation completely desensitized to risk. Video games condition our young into believing there is no price to be paid for risky behavior - things go wrong, just hit reset. Social media changes the way people interact, no more need to risk rejection by actually going up to a girl and asking her out - just swipe right. Government checks removing the risk which comes with having to earn a living - just stay home and have kids, in fact the more kids you have, bigger the check gets. The removing & desensitizing of risk is jeopardizing an entire generation - now that is risk.

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Thank you for your post regarding the all important topic of 'Risk' and how it is embodied in today's 'weird markets'. To that I will add my two favorite descriptions of Risk that have guided my investment decisions, since we cannot avoid Risk only manage it to your level of comfort:

“Risk is what’s left over when you think you’ve thought of everything.” - C. Richards

'The Seven Immutable Laws of Investing'

#5 - 'Risk is the permanent loss of capital, never a number'

- James Montier, GMO March 2011

I look forward to reading this new book on how we got here and how Risk just morphs, mutates as an inherent part of the system:

'The Lords of Easy Money: How the Federal Reserve Broke the American Economy Hardcover'

- Christopher Leonard

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