Crisis caused by hormones

[ukhudshanskiy]

A trader-turned-scientist says the sub-prime boom, credit crunch and ongoing stock market meltdown may well have been fuelled by those two hormone-producing appendages macho traders set such store by. Successful traders, they found, were being fuelled by increased levels of testosterone. In a boom market, testosterone and money combine to create a feedback loop with disastrous effect. The extra testosterone makes men more confident and less risk-averse. If their bets come off, they produce more testosterone and make bigger bets.