The Math Behind the Meltdown

The history of the renowned Black-Scholes formula on options pricing weaves through several centuries and many countries. That history, were it better known, would have inspired a little of the humility that was in such short supply in the world of finance before September 2008.

Appeared in: Volume 8, Number 3 | Published on: December 12, 2012

Chris Taylor is a graduate of Northwestern University and the Harvard Business School.

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