246 Notes
2.Louis Bachelier, “Theory of Speculation,” reprinted inThe Random Character
of Stock Market Prices, Paul H. Cootner, ed. (rev. ed. MIT Press, 1964).
3.Eugene F. Fama, “The Behavior of Stoc kMar ket Prices,”Journal of Business,
vol. 38 (1965).
4.Sidney S. Alexander, “Price Movements in Speculative Markets: Trends or Ran-
dom Walks?”Industry Management Review, May 1961.
5.Benjamin Graham,The Intelligent Investor(1st ed. 1949; 4th rev. ed. Harper &
Row, 1973), 133.
6.Paul A. Samuelson, “Proof That Properly Anticipated Prices Fluctuate Ran-
domly,”Industry Management Review, Spring 1965.
7.Milton Friedman, “The Methodology of Positive Economics,” inEssays in Pos-
itive Economics(University of Chicago Press, 1953).
8.Andrew Lo and A. Craig MacKinlay,A Non-Random Walk Down Wall Street
(Princeton University Press, 1999).
9.Eugene A. Fama, “Efficient Capital Markets: II,”Journal of Finance,vol.46
(1991).
10.James Tobin, “On the Efficiency of the Financial System,”Lloyds Bank Review,
July 1984.
11.William F. Sharpe,Portfolio Theory and Capital Markets(McGraw-Hill, 1970);
Kenneth J. Arrow, “Ris kPerception in Psychology and Economics,”Economic
Inquiry, vol. 20 (1982).
12.Lawrence H. Summers, “Does the Stoc kMar ket Rationally Reflect Fundamen-
tal Values?”Journal of Finance, vol. 41 (1986).
13.Fischer Black, “Noise,”Journal of Finance, vol. 41 (1986).
14.Andrei Shleifer,Inefficient Markets: An Introduction to Behavioral Finance(Ox-
ford University Press, 2000).
15.Harry M. Markowitz,Portfolio Diversification: Efficient Diversification of In-
vestments(John Wiley & Sons, 1959).
16.Sharpe,Portfolio Theory and Capital Markets.
17.Andrei Shleifer, “Do Demand Curves for Stocks Slope Down?”Journal of Fi-
nance, vol. 41 (1986).
18.Francis Fukuyama,Trust: The Social Virtues and the Creation of Prosperity(Free
Press, 1995).
19.Graham,Intelligent Investor, 61, n. 2.
20.Lawrence A. Cunningham, ed., “Conversations from the Buffett Symposium,”
Cardozo Law Review, vol. 19 (Sept.–Nov. 1997), 812.
Chapter 3
1.For additional analysis and sources, consult Lawrence A. Cunningham, “From
Random Walks to Chaotic Crashes: The Linear Genealogy of the Efficient
Capital Market Hypothesis,”The George Washington University Law Review,
vol. 62 (1994), on which this chapter is based.