Very interesting that slowing down the stock exchange, on purpose, leveled the playing field and didn't cause the predicted calamity. If anything, it improved things. At 3:51 he says that the SEC white paper concluded that the market has been more stable since the advent of their system.
At 2:38, 3*10^8 m/s * .00035 sec = 105km, but it turns out that's using the speed of light in a vacuum.
As Sebastian Jezierski points out in the comments for this video, the speed of light in glass is 1.5x slower than in a vacuum which accounts for some of the difference. The speed of light in a given medium is decreased in proportion to the refractive index of that medium.
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