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The Myth of the Rational Market
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Author The Myth of the Rational Market
rffrydr
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PostPosted: Tue Jun 09, 2009 9:20 am    Post subject: The Myth of the Rational Market Reply with quote

Counting it up is not adding it up:

http://online.barrons.com/article/SB124363560053267777.html

http://www.sce.cornell.edu/sce/altschuler/pdf/altschuler_review_20090601_146.pdf


http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aJHy37voS3g8

http://www.washingtonpost.com/wp-dyn/content/article/2009/06/05/AR2009060502053.html

Quote:
The illustrative joke was of two economists who spot a $10 bill on the ground. One stoops to pick it up, whereupon the other interjects, "Don't. If it were really $10, it wouldn't be there anymore."


http://www.ft.com/cms/s/2/08bc21d8-5395-11de-be08-00144feabdc0.html

Quote:
Joseph Stiglitz, now famous as a critic of globalisation, published a proof that the efficient markets hypothesis was logically impossible because otherwise it would be irrational to spend money on research.

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rffrydr
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PostPosted: Thu Jul 02, 2009 11:49 am    Post subject: Reply with quote

SocGen Montier adds his 2cents:

http://ftalphaville.ft.com/blog/2009/06/18/57881/emh-the-dead-parrot-of-finance/
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rffrydr
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PostPosted: Tue Jun 09, 2009 12:52 pm    Post subject: Reply with quote

This book relies heavily on Thomas Kuhn's "The Structure of Scientific Revolutions." and for those into it, I'd recommend my old nazi youth Berkeley prof:

Paul Feyerabend's first book, Against Method, setting out “epistemological anarchism”, whose main thesis was that there is no such thing as the scientific method. Great scientists are methodological opportunists who use any moves that come to hand, even if they thereby violate canons of empiricist methodology.

Quote:
[R]ationalism has no identifiable content and reason no recognisable agenda over and above the principles of the party that happens to have appropriated its name. All it does now is to lend class to the general drive towards monotony. It is time to disengage Reason from this drive and, as it has been thoroughly compromised by the association, to bid it farewell. (FTR, p. 13).


http://plato.stanford.edu/entries/feyerabend/
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