O'Reilly logo

Pricing the Future: Finance, Physics, and the 300-year Journey to the Black-Scholes Equation by George Szpiro

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

EIGHT
The Overlooked Thesis
WHEN SCIENTISTS LIKE EINSTEIN, PEARSON, WIENER, and Lévy advanced the understanding of random walks in the context of the natural sciences and engineering, they paid no attention to one potential area of application: the stock market. It was not their fault. People interested in economics at that time, mostly businessmen and lawyers, never brought their field to the notice of researchers trained in the use of mathematics. True, Jules Regnault’s work had appeared in the 1860s, Henri Lefèvre’s in the 1870s and 1880s. However, in spite of their tentative steps toward a more quantitative approach, the description of economic phenomena was still couched not in equations but in words. But with the work of accountants ...

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required