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Nobel Prize in Economics

The Nobel Prize in Economics was awarded yesterday to Eugene Fama, Lars Peter Hansen and Robert Shiller for "their empirical analysis of asset prices". For some, Fama will be controversial pick. But for my money, Shiller deserves his prize for his work on irrational exuberance and animal spirits rather than his 1981 asset pricing paper.  Click here for a piece at Bloomberg, which briefly outlines the contribution of the three laureates.

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