DGPE PhD course: The Social Value of Financial Market Information
Aarhus BSS Graduate School at Aarhus University
This PhD course examines financial markets as mechanisms for aggregating dispersed information, starting from the basic question of the economic value of that aggregation. Rather than treating price efficiency as an end in itself, the course studies how informational efficiency interacts with risk sharing, how firms and governments can use market prices when making real decisions, and when the information embedded in prices improves welfare. The course concludes by examining whether atomistic agents internalize negative externalities stemming from their actions in large markets.