Journal of Economic Perspectives: Vol. 17 No. 1 (Winter 2003)
Print Article Summary Export Citation
Sign up for Email Alerts Follow us on Twitter
The Efficient Market Hypothesis and Its Critics
Malkiel, BurtonG. 2003. "The Efficient Market Hypothesis and Its Critics ." Journal of Economic Perspectives, 17(1): 59-82.
Revolutions often spawn counterrevolutions and the efficient market hypothesis in finance is no exception. The intellectual dominance of the efficient-market revolution has more been challenged by economists who stress psychological and behaviorial elements of stock-price determination and by econometricians who argue that stock returns are, to a considerable extent, predictable. This survey examines the attacks on the efficient market hypothesis and the relationship between predictability and efficiency. I conclude that our stock markets are more efficient and less predictable than many recent academic papers would have us believe.
Article Full-Text Access
Full-text Article (Complimentary)
Malkiel, Burton G.
| Login to post a comment