On Skin in the Game. An interesting question Talebs claim 5 Trillion of losses = total wipeout?


According to Nassim Taleb, in 2009, the banking sector lost in 18 months all the profits it ever made since the beginning of banking. Is this true?


Is the sector as a whole up now since, say 1950? By how much? I can't find any good data on this.


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 This is a question I also wished to find data for and as with Javier´s answer I also remember Buffet saying the same thing about the Airline industry. My question arose out of a wish to establish how much skin is there in the game when Banks Bail out sovereigns and vice versa? To a large extent it would seem that neither in fact have much skin in the game and Taleb´s interview with the Library for Economic freedom and liberty examines this question and he again makes the claim of Banking over its history returning a net loss. So How much Skin do the Troika have in the Game..

Javier GonzalezJavier Gonzalez, PhD in economics from the University ... (more)