|
|
|
|
|
|
by ben_w
147 days ago
|
|
|
Trust is something you can give a price to. The higher the risk of e.g. a loan, the more interest it has to pay out to be worthwhile. The exact amount* is, as I understand it, governed by the Black–Scholes model. * probably with some spherical-cows-in-a-vacuum assumptions given how the misuse of this model was a factor in the global financial crisis. |
|
|