Posts Tagged "risk"
In physics and computer science there is principle known as the “Observer effect”, which is in fact a simplification of Heisenberg’s uncertainty principle or like the Copenhagen interpretation of quantum mechanics refuted by Schrödinger’s cat. Basically, it says that when you try to measure one or more states of a system the measuring itself affect either the state you are measuring or the others. In computer science, for example, when you want to know what an Application is doing you can log that information in a file –the
infamous log files–, this produces a slowdown in the processing of the application –slower the more information you log– and even increase the risk of having an i/o error on the log file.
In my last post, If the interest rate is 0%, do you want to pay back your debt?, I blathered on technical debt and how it can be (under some circumstances) interest rate free.
He is right, you have to take your exposure to risk into account. Risk is an intrinsic characteristic of any kind of debt. And is an important one, entire European countries’ economies are struggling because of the risk exposure of their debt (financial this time).Read More