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In the mid-1970s a few progressive occupants of Chicago's options pits started trading with the aid of sheets of theoretical prices derived from a model and sold by an economist called Fisher Black.
Fig. 3 Simulated and theoretical prices.
Fig. 9 Simulated and theoretical prices Fig. 10 Users' prices.
In Fig. 7, we observe that the simulated and theoretical prices behave in a similar way.
The simulated prices are able to explain 99% of the variations in the theoretical prices.
So, the simulated prices explain 99% of the variations in theoretical prices.
Similar(42)
They made signs advertising the theoretical price disparity but gave the sweets away for free, the only cost being a few minutes' conversation.
The rule forces banks to mark to market, rather to some theoretical price calculated by a computer — a system often derided as "mark to make-believe".
The posted price is a theoretical price used by the oil industry to calculate tax payments to oil-producing nations for the bulk of the oil produced in Opec.
N here is merely a symbol for any number of bidders; in essence, they say that the more bidders there are, the better theoretical price that can be achieved.
One principal involved in the Extended Stay acquisition, whose firm did not want to discuss the deal publicly, said the price was a deep bargain compared with a common benchmark known as replacement cost, which is the theoretical price to build a similar hotel in the same location today.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com