Abstract

The syntax of economic theory closely resembles the syntax of physics. But physics deals with what seems to be the objective world. In contrast, the essence of economics is subjectivity and moral choice. What can you reasonably expect from treating economics as a branch of science? This talk compares the nature and efficacy of models in both physics and finance, and tries to reach a sane answer to the question above.

Details

Talk Number PIRSA:09050017
Speaker Profile Emanuel Derman