Chapter 27

I would give this chapter a 1.5 out of 3. There wasn't a huge amount of material to digest which normally makes it easier. We learned the basics of how to calculate the value of money today versus how much it would be worth at a certain interest rate in the future. We also saw an overview of the stock market and their prices. We generally saw that it's almost impossible to do significantly better than the market is doing as a whole according to the efficient t market hypothesis. Stock prices are affected by the perceived value of the public and as it is difficult to predict how that viewing may change it's difficult to predict stock prices. We also learned about risk in the chapter and how humans are normally risk averse and in investing we generally diversify our portfolios.