Critical Assumptions Economists Make in Economic Models

Discover how economists' assumptions shape economic models, affecting predictions about consumer behavior, resource ...

Black-Scholes Model: What It Is, How It Works, and the Options Formula

Learn about the Black-Scholes model, how it works, and how its formula helps estimate fair option prices by weighing ...

Model Thinking: The Framework For Founders And Investors To Communicate With Clarity

Founders think in possibilities; investors think in probabilities. The difference can make or break a relationship. At my ...
The Motley Fool

What Is a Statistical Model? Overview and Example

Statistical models predict stock trends using historical data and mathematical equations. Common statistical models include regression, time series, and risk assessment tools. Effective use depends on ...
The Motley Fool

Black-Scholes Model: Overview, How It Works, Formula

The Black-Scholes model estimates the fair value of European-style options using five key inputs. Model assumptions include no dividends and a constant risk-free interest rate, among others. Use an ...