Widespread blanked sailings stave off major collapse of transpacific rates
Spot rates across all the major east-west deepsea trades continued their downward descent this week, ...
© Zhenshan Zhou
In his book The Black Swan, which discusses the impact of unlikely events, Nassim Nicholas Taleb provides the following sound advice: “Never cross a river if it is, on average, four feet deep”.
What the author is telling us is that averages only provide value where outliers are not only rare but also insignificant, if or when they do occur. Far closer attention should be paid to instances where outliers could have a significant impact.
A good example of this is the ...
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