Knowing .NET Sometimes a coder who writes, sometimes a writer who codes. Formerly, a coder who edited magazines.

November 18, 2009

Mortgage Meltdown Financial Instrument is NP-Complete

Filed under: Uncategorized — larry @ 6:11 am

Complex derivatives are “intractable” — you can’t tell if they’re being tampered with – Boing Boing.

Determining if a “Collateralized Debt Obligation” was tampered with is a “densest subgraph” problem, which is NP-Complete. Which is a fine thing to depend a global economy on.

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