Chaos getting sorted

I'am pretty sure you are thinking that this guy is one cocky motherf***** . Well , I don't know about that ; but what I'm sure about is that god really doesn't know statistics just because it never needed to know statistics. Pause and ponder, why do we even need statistics in the first place? It's simple, because we are uncertain about the future and also unsure about situations and phenomenon around us that we don't understand ( don't have complete information about) .  E.g, we don't know what will be the exact height of a particular boy born in India by the time he reaches the age of 28. So we need statistical measures of central tendency,  dispersion and  probability to give our best possible 'estimate' ( you can also call it 'guess' or 'prediction') about what the boy's height most likely will be by the time he reaches the age of 28.  Now, try to take your feet into God's shoes for a second. It is omnipresent and omni...

Let's dive into two situations: A) You collected a random sample of 10 people from India and calculated the net worth of each individual. B) In this case you chose again 10 random men from India, but this time instead of calculating their net worth you calculated the height of each individual in feet. Now, buckelup your seat belts because we're going to do something interesting here. Let's pickup the tallest man in India ever(in records) and the wealthiest man in India ever(in records). Let's add the height of the tallest man to the sum total of all heights of the 10 randomly selected men in India. What do you think will happen? the height of the tallest man will form a very small percentage of the sum total of all heights of the 10 randomly selected men. But on the contrary if you add the net worth of the wealthiest man in the history of India, then that will form a huge percentage of the sum total of wealth of those 10 random men and most likely it will surpass the su...

All the shocks and extreme uncertainities i have been writing about in my previous blogs is a part of a larger realm, i.e uncertainity/ chance. But there is the bell curve(normal distribution) and the stereotypical financial analysts and statisticians to deal with things falling under the bell. But mostly that seems to blow up situations are the events that are the outliers,i.e the events not covered under the bell curve. No matter how much less your beta is in your portfolio (designed by a stereotypical analyst) a Monday(black Monday incident, read my previous blog " Mother nature is also a Mother fucker") can just blow up all your plans and give you lakhs and millions of loss that may require years to recover. So let me just deal with those. Let's invite a little Swan in our picture. A traditional swan is white . Untill Australia was discovered people in this world reacted in a way to black swans as if they were asked of green cheetahs (some of them still do tough). Aus...

Here Iam going to site some examples to explain why Iam using such an vulgar title for my blog. I truley and from the core of my mind(not heart) believe that nature is also a mother-fucker. Let's dive into it: 1) The time was of something called the second world war. Year 1945 date 6th august. Two places in Japan were cherishing it's countries recent attack done to the superpower America(pearl harbor to be really specific) . Never did the mother's of these 2 places thought that whoever they will give birth to will turn out to be something genetically special(not deformed) from that time onwards. But then on the next moment those two mothers of those two places were dead along with all other people of those two places(Hiroshima and Nagasaki bombing ). All of these dead people felt like turkeys/chickens(if you don't know what I mean by Turkey and chicken go read my previous blog "Where the mind is without fear and the head is heald low"). 2) Year 2001 date Septe...

Just think of a turkey or a chicken (if you are a bengali) . From the day it is born it is taken immense care of. It is given food , given shelter and provided with immense comfort. His/her confidence upon the butcher is clearly showing an upward smooth graph with very little noise( for non stat students, noise is the variations/ up downs in a graph that you see while watching any stock price). This little chick is free of any kind of fear in his/her mind. But then just one day that butcher finds this chicken healthy and tasty and finally cuts down it's head. The graph abruptly comes down and absolutely hits 0( the graph has time in X axis and confidence emotion on Y axis). The chicken lost all confidence , a little life , and got an immense shock from the rareness and unexpectedness of this event. This story of a little bird was just a metaphor of human behaviour towards uncertainty and rare events. But wait for some more days I will do the induction job on my next blog.