Markets are efficient if and only if P=NP (2010)

Re:Markets are efficient if and only if P=NP (2010) by nyellin on Wednesday October 21, 2020 @02:27AM (#24845254)

I agree with your examples and I agree that markets aren't efficient, but the "proof" you present is invalid because individual investors could be inefficient yet that doesn't mean that in aggregate markets are inefficient. (Informally, this reminds me of the central limit theorem.)

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Re:Markets are efficient if and only if P=NP (2010) by philosopher1234 on Wednesday October 21, 2020 @03:15AM (#24845476)

I agree with your logic. To self-interpret: I think my rationale demonstrates that the claim "markets are inefficient" is coherent, and my examples demonstrate that its true.

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Re:Markets are efficient if and only if P=NP (2010) by Dylan16807 on Wednesday October 21, 2020 @02:35AM (#24845289)

The central limit theorem doesn't get you close enough to perfect efficiency to distinguish between P and NP.

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