“While, in hindsight, some of the data available to the Federal Reserve and other authorities gave notice of the financial crisis, more data and a different approach to analyzing them are needed if a reliable ‘early warning system’ for future crises is to be developed, according to research by Federal Reserve Vice Chairman Donald Kohn and others released Monday.

In a constantly changing financial market, financial supervisors must look at the available data less like physicists and more like intelligence analysts, Kohn and his co-authors contend.” Read more.

“Fed Kohn Paper: Crisis Early Warning Requires Better Data”
Steven K. Beckner
iMarketNews.com, April 19, 2010.