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Cover of The Alchemy of Finance by George Soros

The Alchemy of Finance

George Soros · 1987

Soros introduces reflexivity: market participants' biased perceptions actually change the fundamentals they're evaluating, creating feedback loops that traditional economics can't explain. This directly contradicts efficient market theory and explains why bubbles and crashes are inherent features of markets, not anomalies. Dense and demanding, but one of the deepest ideas in finance.

Business & Investing · the Pro canon

The case for it, the case against, and the rest of the canon open with Pro.