Business decisions by financial services firms were based on "the best insights of mathematicians and finance experts, supported by major advances in computer and communications technology," Greenspan told the committee. "The whole intellectual edifice, however, collapsed in the summer of last year because the data inputted into the risk management models generally covered only the past two decades — a period of euphoria."
Darned. So it's not the smart guys and it's not the technology. It's those lazy data entry clerks that are to blame.
In one sense the failure to use relevant data is a contributor. I'm well aware that data inputs are vital AND that data input budgets are often given short shrift in maintenance budgets. But it's the smart guys -- or the "smarter" guys higher up -- who set the budgets and determine how much to spend on databases versus, say, media advertising or lobbying.
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