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There's an easy way to represent this visually: the fan chart. What starts as a line quickly becomes a blurry fan-shaped region, underscoring that as time marches forward, the variable being forecast falls into an ever broader range of possibilities. "The more you think in terms of distribution of outcomes, the better," says Gregory Mankiw, a Harvard economist who chaired President George W. Bush's Council of Economic Advisers. "You're always keeping in mind the inherent uncertainty." The Bank of England is a big user of the fan chart when its economists talk about inflation forecasts. Plenty...

Author: /time Magazine | Title: Why Are Economists So Bad at Forecasting? | 7/17/2009 | See Source »

...trying to suggest that they have put aside their intention to drive Western forces out of Afghanistan, and I do not believe that al-Qaeda has put aside its intention to launch further attacks on the West. Far from it. Increasing casualty rates in the region, both among locals and among NATO troops, proves that they are actually more violent and more dangerous. But one opportunity that comes out of this is that they are also far more hated by the local population. If you read the reports coming out of Swat, out of Southern Afghanistan, out of Kandahar, Helmand...

Author: /time Magazine | Title: Fighting the New Narcoterrorism Syndicates | 7/17/2009 | See Source »

...They really just want a safe place to live. To my mind, this is like an inner-city slum where there are criminal gangs terrorizing the people and cops that are on the take. We need to clean up these communities. We need to help the people of this region, and I think we'll see this situation start to turn around...

Author: /time Magazine | Title: Fighting the New Narcoterrorism Syndicates | 7/17/2009 | See Source »

When the severed heads of seven French Trappist monks were found in a remote mountainous region of Algeria in May 1996, it was natural to assume the murders were the latest gruesome act by jihadists in their long-running and bloody campaign against the Algerian government. Thirteen years on, however, the victims' families, church officials and the French and Algerian publics have been shocked by the revelation that the monks may have been killed as the result of a bungled Algerian military operation. According to testimony given by retired French general François Buchwalter as part of an official...

Author: /time Magazine | Title: Could Seven Dead Monks Upset President Nicolas Sarkozy's Bold Plans To Remake France's Legal System? | 7/16/2009 | See Source »

...human-rights activist was found dumped by the side of a road. Natalya Estemirova, 50, had been killed execution-style, shot in the head and chest, just hours after being kidnapped from outside her home in Grozny, the capital of the republic situated in Russia's troubled North Caucasus region. The murder has sparked international outrage and prompted calls for a closer look at the atrocities that have been committed in the North Caucasus, and in Chechnya especially, since the start of Russia's Chechen wars...

Author: /time Magazine | Title: Killings of Russia's Human-Rights Activists Continue | 7/16/2009 | See Source »

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