Thursday, 11 August 2016

Are market efficient?

Do market prices generally reflect all available information? Or are they prone to bubbles? On this episode of The Big Question, two members of the Chicago Booth faculty—Nobel laureate Eugene F. Fama and Richard H. Thaler, the father of behavioral economics—discuss how markets behave (and misbehave). Along the way they discuss value stocks versus growth stocks, the existence of economic bubbles, and the curious case of the CUBA Fund

29:30 : They are all lineal combinations of various multistate combinations


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