The New Finance: Overreaction, Complexity, and Uniqueness - Softcover

Haugen, Robert A.

Softcover

ISBN 10: 0130497614 ISBN 13: 9780130497611

Publisher: Pearson College Div, 2003

Synopsis

It presents a comprehensive and organized collection of the evidence contradicting market efficiency. Sets forth and synthesizes a paradigm shift in financial economics, exploring rational finance, behavioral finance, and the new finance. This book provides revolutionary and controversial ideas lending to the acceptance of the notion that capital markets are inefficient. Portfolio Managers, Financial Analysts, and Security Analysts.

About this title

About the Author

In this Third Edition, Robert Haugen focuses on the evidence, causes, and history of overreactive pricing in the stock market. He argues that, unlike the other social sciences, economic models aggregate from the assumed behaviors of individuals to predictions about market pricing. These models fail to capture the complexity of human interaction. In addition, Haugen argues that each interaction is entirely unique. The complexity and the uniqueness of interactions make it impossible to generalize from the preferences of individuals to meaningful conclusions about the structure and behavior of market prices. The logical conclusion: Both rational and behavioral economics should be reconsidered.

Bob Haugen is Professor Emeritus at the University of California, Irvine. He serves as Managing Partner to Haugen Custom Financial Systems, which licenses portfolio management software to pension funds, endowments, and institutional and high-net-worth money managers.

For further study on the author's unique approach to stock market analysis, read the entire Bob Hougen series, The Inefficient Stock Market, What Pays Off and Why, and Beast on Wall Street.

Visit www.prenhall.com/haugen for additional resources. Or go to www.newfinance.com .

From the Back Cover

In this Third Edition, Robert Haugen focuses on the evidence, causes, and history of overreactive pricing in the stock market. He argues that, unlike the other social sciences, economic models aggregate from the assumed behaviors of individuals to predictions about market pricing. These models fail to capture the complexity of human interaction. In addition, Haugen argues that each interaction is entirely unique. The complexity and the uniqueness of interactions make it impossible to generalize from the preferences of individuals to meaningful conclusions about the structure and behavior of market prices. The logical conclusion: Both rational and behavioral economics should be reconsidered.

Bob Haugen is Professor Emeritus at the University of California, Irvine. He serves as Managing Partner to Haugen Custom Financial Systems, which licenses portfolio management software to pension funds, endowments, and institutional and high-net-worth money managers.

For further study on the author's unique approach to stock market analysis, read the entire Bob Hougen series, The Inefficient Stock Market, What Pays Off and Why, and Beast on Wall Street.

Visit www.prenhall.com/haugen for additional resources. Or go to www.newfinance.com .

Edition details

• Publisher: Pearson College Div
• Publication date: 2003
• ISBN 10: 0130497614
• ISBN 13: 9780130497611
• Binding: Paperback
• Language: English
• Edition number: 3
• Number of pages: 192