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The dream scenario for prediction markets

by Euro Times
June 27, 2025
in Finance
Reading Time: 1 min read
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If you possibly can invent one thing to fulfil an economist’s dream, it will look an terrible lot like a prediction market. A world the place each unsure future will be priced, hedged and insured towards? Kenneth Arrow and Gérard Debreu would approve. A market mechanism to co-ordinate the decentralised knowledge of crowds, guaranteeing the accuracy of such costs? Adam Smith and Friedrich Hayek sought simply that.



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