It’s a bit presumptuous that these folks don’t understand what makes markets work.
They went into quite a bit of detail but can’t cover everything. Most of the examples were quite top of funnel, fire the CEO markets, economic impacts of new laws being passed. I wouldn’t expect for major bills or companies there would be any shortage of liquidity there.
It’s typical of comments in any forum to mostly be critical, but what takes more guts and cleverness is to connect the dots to improve upon the idea. You seem to have a good mind so I’d encourage you to try applying it in that way.
Bit presumptuous to assume I have not been involved with the creation of markets, trading, etc. I have seen stuff work as well as fail up close in large arenas. [Edit: sorry, I should not snark. You are right that criticizing is easy creation is not.]
Going from academic ideas of markets and experiments to actual deep and useful markets is surprisingly difficult.
EDIT: the failure to create proper working markets for GDP-linked derivatives is good example of something that should but actually ain't. Not enough market making risk takers, limited hedges, unbalanced demand between long and short demand, index issues, ...
I didn’t assume that of you at all, I actually had assumed the opposite and that you had experience in the area.
I agree it would be challenging to have deep and useful markets, but perhaps there’s more innovation to be made there — and many of these high level markets that are top of public consciousness I’d expect to have plenty of liquidity.
They went into quite a bit of detail but can’t cover everything. Most of the examples were quite top of funnel, fire the CEO markets, economic impacts of new laws being passed. I wouldn’t expect for major bills or companies there would be any shortage of liquidity there.
It’s typical of comments in any forum to mostly be critical, but what takes more guts and cleverness is to connect the dots to improve upon the idea. You seem to have a good mind so I’d encourage you to try applying it in that way.