Efficiency, Assets, and Time in Financial Theory

Explore the evolution of economic justifications for free markets in this 71-minute lecture from Yale University's Financial Theory course. Examine proofs of Pareto efficiency in competitive equilibrium, including arguments by Edgeworth and Arrow-Debreu. Consider how broadening economic models may challenge traditional justifications for unregulated markets. Delve into Irving Fisher's introduction of time and assets to standard equilibrium models, laying the groundwork for modern finance. Progress through topics such as mathematical perspectives on free markets, Pareto efficiency and equilibrium, the Fundamental Theorem of Economics and its shortcomings, the history of mathematical economics, and key elements of financial models.

- Chapter 1. Is the Free Market Good? A Mathematical Perspective
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- Chapter 2. The Pareto Efficiency and Equilibrium
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- Chapter 3. Fundamental Theorem of Economics
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- Chapter 4. Shortcomings of the Fundamental Theorem
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- Chapter 5. History of Mathematical Economics
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- Chapter 6. Elements of Financial Models
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