Foundations of Financial Economics

Part of the Advances in Spatial Science book series (ADVSPATIAL)


Financial economic theory was founded on several major theoretical breakthroughs in economic theory and has evolved into the tool that governs every financial market worldwide today. It is a unique example of how abstract mathematical theory can explain and extend real applications. Phenomenologically, financial economic theory has become the common language used by all participants in financial markets. Moreover, it provides a solid framework for the study and the development of financial markets and its products.


Utility Function Risk Aversion Asset Price Option Price Financial Economic 
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Copyright information

© Springer-Verlag Berlin Heidelberg 1997

Authors and Affiliations

  1. 1.School of ManagementUniversity of MassachusettsAmherstUSA
  2. 2.Department of Mechanical and Industrial EngineeringUniversity of MassachusettsAmherstUSA

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