Probability and finance. It's only a game! (Q2754862)

The first part of the book presents an interesting new mathematical and philosophical framework for probability: game theory instead of measure theory. It is based on a sequential game between an idealized scientist and ``the world''. The second half, on finance, illustrates the potential of the new framework. It suggests greater use of the market mechanisms and less use of stochastic models in the pricing of financial derivatives. In particular, it shows how purely game-theoretic probability can replace models in the efficient market hypothesis.