{"product_id":"the-black-scholes-merton-model-as-an-david-m-kreps-9781108707657","title":"The Black-Scholes-Merton Model as an Idealization of Discrete-Time Economies","description":"This book examines whether continuous-time models in frictionless financial economies can be well approximated by discrete-time models. It specifically looks to answer the question: in what sense and to what extent does the famous Black-Scholes-Merton (BSM) continuous-time model of financial markets idealize more realistic discrete-time models of those markets? While it is well known that the BSM model is an idealization of discrete-time economies where the stock price process is driven by a binomial random walk, it is less known that the BSM model idealizes discrete-time economies whose stock price process is driven by more general random walks. Starting with the basic foundations of discrete-time and continuous-time models, David M. Kreps takes the reader through to this important insight with the goal of lowering the entry barrier for many mainstream financial economists, thus bringing less-technical readers to a better understanding of the connections between BSM and nearby discrete-economies.\u003cbr\u003e\u003cbr\u003e\u003cb\u003eAuthor:\u003c\/b\u003e David M. Kreps\u003cbr\u003e\u003cb\u003eISBN-10:\u003c\/b\u003e 1108707653\u003cbr\u003e\u003cb\u003eISBN-13:\u003c\/b\u003e 9781108707657\u003cbr\u003e\u003cb\u003ePublisher:\u003c\/b\u003e Cambridge University Press\u003cbr\u003e\u003cb\u003eLanguage:\u003c\/b\u003e English\u003cbr\u003e\u003cb\u003ePublished:\u003c\/b\u003e 09\/19\/2019\u003cbr\u003e\u003cb\u003ePages:\u003c\/b\u003e 214\u003cbr\u003e\u003cb\u003eFormat:\u003c\/b\u003e Paperback\u003cbr\u003e\u003cb\u003eWeight:\u003c\/b\u003e 0.70lbs\u003cbr\u003e\u003cb\u003eSize:\u003c\/b\u003e 8.96h x 6.44w x 0.47d","brand":"David M. Kreps","offers":[{"title":"Paperback","offer_id":48850311479551,"sku":"9781108707657","price":49.0,"currency_code":"USD","in_stock":true}],"url":"https:\/\/www.whiterainbookhouse.com\/products\/the-black-scholes-merton-model-as-an-david-m-kreps-9781108707657","provider":"WR Book House","version":"1.0","type":"link"}