Do Economists read other Economists?

william the wie

Gold Member
Nov 18, 2009
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The reason I ask that is that the various forms of the Efficient Market Theory are hard to reconcile with the following things:

Behavioral finance specifically the risk aversion-risk seeking spectrum.

the differences in risk profiles of structural and financial leverage and degree of which is used.

The arithmetic inverse relationship between gains and losses: a 10% loss is offset by an 11.111...% gain, a 20% by a 25% gain and so on.

Are there others I am missing in this area?
 

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