Neoclassical Finance (Princeton Lectures in Finance) by Ross, Stephen A. (2004) Hardcover

by Stephen A. Ross

Excellent Book

Hardcover

First published October 11, 2004

About the author

Stephen A. Ross is the Franco Modigliani Professor of Financial Economics and a Professor of Finance at the MIT Sloan School of Management.

In the past he occupied the Chair of Sterling Professor of Economics and Finance at Yale University and, before that, he was Professor of Economics and Finance at the Wharton School (University of Pennsylvania).

Reviews

[Max Lybbert · Rating 3 out of 5]

This is a quick read, and it does give some insight into Ross's thinking. Additionally, although it's packed with equations, it isn't dry (e.g., the second footnote in the book discusses Ross's experience "with a group that specialized in mortgage arbitrage" that found an arbitrage opportunity that "would offer a three-year certain return of 37 percent per year. That was the good news. The bad news was that such investments are not scalable, and, in this case, we could buy only $600,000 worth of it, which, given the high-priced talent we had employed, barely covered the cost of the analysis itself").

As Ross warns in the introduction, Ross presents a specific argument in a straightforward way. This book does not serve very well as an introduction to -- or survey of -- neoclassical finance. Princeton has the first chapter available online (PDF).

[Frank Ashe · Rating 3 out of 5]

Doesn't live up to the blurbs eg "surveys and integrates modern finance".