The World's Best Book Summaries
How many Americans live in poverty? Why would a prosperous nation have impoverished people? Poverty, by America by Matthew Desmond contends that the United States has a big problem. Despite the country’s vast wealth and prosperity, it suffers from a level of poverty and inequality unseen anywhere else in the developed world. Continue reading for an overview of this new book.
Does Poverty, by America offer an accurate view of poverty in the US? What criticism has it received? There’s a growing canon of recent social science works exploring the phenomenon of poverty in America. One of these books is Matthew Desmond’s Poverty, by America. Upon its release, critics hailed it as an important and timely contribution to the conversation. Read more to see several top Poverty, by America reviews as well as some general information about the book.
How did John Meriwether get his start with the investment firm Salomon Brothers? What role did Meriwether play in forming LTCM? In When Genius Failed, Roger Lowenstein writes that hedge fund manager and arbitrage expert John Meriwether was pivotal in the conception and formation of LTCM. He formed the arbitrage group at the investment firm Salomon Brothers, where he had previously worked. Let’s look at the rise of John Meriwether, Salomon Brothers’ hand in LTCM’s creation, and how they set the stage for LTCM’s rise and fall.
What does it feel like to be poor? What aspects of poverty can’t be quantified? It’s easy to regard poverty as a black-and-white, by-the-numbers matter. But, according to Matthew Desmond, poverty is far more than that. It’s a tangible experience he knows firsthand, and he argues that it’s important for policymakers (and everyone else) to look beyond the numbers. Keep reading to understand the lived experience—and the consequences—of poverty from Desmond’s perspective.
What’s arbitrage? How did John Meriwether’s arbitrage strategy earn Salomon Brothers a profit? Arbitrage is where investors exploit small differences in price for similar assets in two or more markets. When John Meriwether learned this technique, he used it to his advantage, earning more money than ever. Continue reading to learn more about how arbitrage works in the stock market.
Are non-traditional families inherently poorer than traditional families? Is marriage just for the privileged? Poverty remains a persistent feature of American life despite the economy being large enough to raise every adult and child above the defined poverty level. The stubborn persistence of poverty has given rise to several false explanations for its staying power, including non-traditional family structures. Let’s explore the perceived connection between family structure and poverty and Matthew Desmond’s rebuttal.
What is the Efficient Market Hypothesis? How did John Meriwether use this hypothesis to perfect computer trading? The Efficient Market Hypothesis is a financial theory that states stock prices reflect all existing information. In the early 1980s, Meriwether used this theory to introduce computer-based mathematical modeling into trading. Discover how the Efficient Market Hypothesis played into Meriwether’s strategy.
Are poor people lazy? What did the Covid-19 experience teach us about poverty and work ethic? When politicians try to figure out why people become poor and stay poor, they often point to a lack of work ethic. Social scientist Matthew Desmond pushes back on this idea, pointing to data gathered during and after the Covid-19 pandemic. Continue reading to learn what Desmond discovered.
How would a global minimum tax on billionaires’ wealth work? What are the main arguments for and against the tax? Does the proposal have a shot at becoming a reality? A proposal for a 2% minimum tax on billionaires’ wealth aims to raise revenue and address inequality, but faces skepticism. Proponents say the billionaire tax could generate $250 billion annually while critics argue that implementing the tax will require global coordination that will be tough to achieve quickly. Continue reading to learn about the different opinions regarding a billionaire tax.
How was the hedge fund LTCM formed? Why was the hedge fund created in the first place? Shortly after John Meriwether left Salomon Brothers, he sought to create a new fund. In When Genius Failed, Roger Lowenstein delves into the emergence of LTCM, its unique convergence strategy, and the high-risk, high-reward nature of its approach. Continue reading to learn about the early years of LTCM.