Tuesday, September 1, 2009

What do students of finance, investing, and economics need to know now?

The efficient market hypothesis—codified in the 1960s at the University of Chicago and taught to generations of economics and finance majors—has taken a beating. The academic model of a market in which millions of investors together steer prices toward their correct levels no longer reigns supreme. Over the last several years, it's become clear that investors overreact, underreact, and make irrational decisions based on imperfect data.

If the market isn't efficient and investors aren't rational--what do your students need to know now?

In The Myth of the Rational Market, Justin Fox, economics and business columnist for Time magazine, gives students a careful but also entertaining history of the 20th century’s most influential financial concept—and he introduces them to the new theories that will drive the market in the century ahead.

“Every MBA should be required to read this informative, lucid, entertaining history of modern finance.” --Wayne L. Winston, professor, Indiana University Kelley School of Business

If you'd like to consider The Myth of the Rational Market for one of your courses, please order an examination copy. If you've already decided to require the book, please request a desk copy.

Meanwhile, you and your students can meet Justin Fox in this video.


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  3. Hello, interesting to read this. I also get knowledge from your post.Wonderful article, very well explained.