Why Those Guys Won the Economics Nobels
Harvard Business Review
APRIL 2, 2014
So do not be discouraged to learn that we start with something called the stochastic discount factor , which Campbell describes as the central idea of modern asset-pricing theory. Back in the ‘60s, people developed the capital asset pricing model [CAPM] as a way to do that. When the Riksbank Prizes in Economic Sciences (a.k.a.