Krugman And The Magazine Cover Hypocrisy
Bernanke and the Cover Curse
So Time magazine has named Ben Bernanke Person of the Year. Be afraid, be very afraid.
The magazine cover curse is a well-known phenomenon: you should
always short the stock of a company whose CEO is the subject of a
glowing cover story in a major magazine.
Plus there’s the specific Time effect. Let’s not forget the 1985 joint portrait of Madonna and Cyndi Lauper, which concluded that Ms. Lauper was the one who’d remain a star.
And above all, let’s not forget this:
Mr. Krugman is indeed an expert on being afraid of hypocritical self-promotion. Since his face graced the cover of the Newsweek March 28 edition, his own personal stock has reacted just as the Nobelist predicted. Perhaps in addition to bailing out the newspaper for which Krugman writes, Carlos Slim can also provide some fiat support to the Keynesianite/Stimulusite.