Who will be next to fall?

by on December 13, 2007 at 8:14 am in Current Affairs | Permalink

Who’s next? Paddy Power, the Irish gambling site, has decided to tap
the wisdom of crowds and set odds on who the next C.E.O. casualty will
be.

At the top of the site’s list, odds-wise, is Bear Stearns
James E. Cayne. Paddy Power is quoting 13-8 odds on a bet that he will
be ousted by June 30, 2008. The odds, better than 2-1, represent a
relatively high expectation that he will soon be out of a job. That
probably reflects some serious setbacks at Bear Stearns under his
watch, including the collapse of two internal hedge funds this summer.

Here is the story, thanks to John de Palma for the pointer.  And here is Robin Hanson on CEO Futures, the idea originates from Robin.

Robin Hanson December 13, 2007 at 9:28 am

A step closer, but alas still a long way off from markets in the stock conditional on keeping (or not) the CEO.

David R. Henderson December 13, 2007 at 12:09 pm

How is 13-8 better than 2-1? 2-1 translates to 16-8, making 13-8 less than 2-1. Is this new math?

jerry December 27, 2007 at 10:23 pm

I absolutely love gambling but the odds are always stacked against me.

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