“I think José correctly emphasizes that a belief system and a rational information system are not the same, even apart from the logical difficulties I have raised…. Individuals can of course err in self-assessment, but this result does not come from random error.” – Kenneth J. Arrow
This week we are excited to feature The Kenneth J. Arrow Lecture Series, edited by Joseph E. Stiglitz, and are giving away free copies of the first three books in the series (Creating a Learning Society: A New Approach to Growth, Development, and Social Progress, by Joseph Stiglitz and Bruce Greenwald; Speculation, Trading, and Bubbles, by José Scheinkman; and The Arrow Impossibility Theorem, by Eric Maskin and Amartya Sen) in our book giveaway! Today, we are focusing on Speculation, Trading, and Bubbles in particular. In this post, we’ll take a look at Kenneth J. Arrow’s Commentary on Scheinkman’s arguments.