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That sounds like a lot of downsides, and appears shortsighted, but that's why it's Plan C. Know your limits and build in margin for error.
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One lesson was "a failure to guard against optimism and build in a margin for prudence against unexpected events".
The report recommends that A&Es should build in a "margin of safety" into their staffing plans, even if this meant they were overstaffed during quiet periods.
It's a classic "service platform" model, like AWS almost, where they build in a margin per delivery requested.
But only those banks that build in big enough margins will still have profitable loan books when Libor rates start to rise once again.
It was established that ratios of characteristic to nominal values vary from 1.23 to 0.75, being unsafe or having a built in excess margin of safety, so new nominal values were proposed.
JET has had a long and productive working life because its designers built in plenty of margin.
"We are taking reasonable risk, we have built in an appropriate margin for error, it strengthens our business, and we have a clear ability to execute," Dimon said Sunday.
These assets include high quality mortgages with a significant protection margin built in and high quality securities with the highest quality of credit rating," he said.
The odds show that, and there's some margin built in as well, but last year gave us the fright of our lives because it felt so utterly real.
Especially if you are buying a used car from a dealership, there's often a fairly good profit margin built in.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com