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Adaptive Markets Hypothesis - Andrew Lo (MIT)

by on Aug 13, 2011

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In this paper MIT professor Andrew Lo describes the how and why of the Adaptive Markets Hypothesis and why it provides a good integration of the Efficient Markets Hypothesis' elegant rationality-based ...

In this paper MIT professor Andrew Lo describes the how and why of the Adaptive Markets Hypothesis and why it provides a good integration of the Efficient Markets Hypothesis' elegant rationality-based ideal framework on the one hand and ideas from Behavioral Science on the other. Key is a linkage to psychological and neuro-physiological ideas about the evolution of the human brain.

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