EconPapers    
Economics at your fingertips  
 

Rationality Rules

Harold L. Vogel ()

Chapter Chapter 7 in Financial Market Bubbles and Crashes, 2021, pp 317-379 from Springer

Abstract: Abstract The history of studies on bubbles and crashes is mired in misleading and flawed theory elegantly packaged in mathematical economics approaches that plainly don’t work: That’s because trading is always conducted in an open nonlinear system that noticeably destabilizes as extreme market events unfold. Moreover, the underlying and still predominant efficient market and capital asset pricing models were never designed nor intended to be used as platforms for the study of such events. Flaws in the rationality approach thus run so deep as to render the entire framework—as here surveyed for reference and historical perspective purposes—bereft of any ongoing analytical benefits.

Date: 2021
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-030-79182-7_7

Ordering information: This item can be ordered from
http://www.springer.com/9783030791827

DOI: 10.1007/978-3-030-79182-7_7

Access Statistics for this chapter

More chapters in Springer Books from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

 
Page updated 2025-03-23
Handle: RePEc:spr:sprchp:978-3-030-79182-7_7