Standard texts and research in economics and finance ignore the absence of evidence from the analysis of real, unmassaged market data to support the notion of Adam Smith's stabilizing Invisible Hand. The neo-classical equilibrium model forms the theoretical basis for the positions of the US Tre...

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Bibliographic Details

Main Author:	McCauley, Joseph L. (Author)
Format:	Electronic eBook
Language:	English
Published:	Cambridge Cambridge University Press 2004
Subjects:	Mathematisches Modell Finance / Mathematical models Finance / Statistical methods Business mathematics Markets / Mathematical models Econophysics Finanzmathematik Kreditmarkt
Online Access:	BSB01 FHN01 Volltext
Summary:	Standard texts and research in economics and finance ignore the absence of evidence from the analysis of real, unmassaged market data to support the notion of Adam Smith's stabilizing Invisible Hand. The neo-classical equilibrium model forms the theoretical basis for the positions of the US Treasury, the World Bank and the European Union, accepting it as their credo. It provides the theoretical underpinning for globalization, expecting to achieve the best of all possible worlds via the deregulation of all markets. In stark contrast, this text introduces a empirically based model of financial market dynamics that explains volatility, prices options correctly and clarifies the instability of financial markets. The emphasis is on understanding how real markets behave, not how they hypothetically 'should' behave. This text is written for physics graduate students and finance specialists, but will also serve as a valuable resource for those with a less mathematical background
Item Description:	Title from publisher's bibliographic system (viewed on 05 Oct 2015)
Physical Description:	1 online resource (xvi, 209 pages)
ISBN:	9780511606588
DOI:	10.1017/CBO9780511606588