Physics versus finance: Science strikes back

Science strikes back

stephen-blyth

On October 21, 1993, the US Congress cancelled the Superconducting Super Collider (SSC), a particle accelerator being built under Texas on which $2 billion had been spent. This was not good news for two of my Harvard roommates, both theoretical physicists approaching the completion of their PhDs: their academic job market collapsed overnight. However, both rapidly found employment at Goldman Sachs in New York, where one still works. It was their assertion that derivatives markets – what