Inefficient Markets: A Nobel for Shiller (and Fama)

I’m not a big fan of the Nobel memorial prize in economics. For too long, it appeared to be used to reward the recognized elders of the subject, discourage attacks on orthodoxy, and foster the illusion that economics is a hard science like physics or chemistry. At times, it seemed like the principle of Buggins’s turn rather than the recognition of genuinely pathbreaking work was motivating the selections. But this year’s prize, which is being shared three ways, is notable, and even somewhat ironic.

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