Ranking Empirical Evidence in Finance

Written By Alec East

ADIA Lab Research Paper Series, No. 4.

Lopez de Prado, M. (2023)

Recent progress in causal inference has opened a path, however difficult, for advancing financial economics beyond its current phenomenological stage. The goal of this article is to propose a hierarchy of empirical evidence, recognizing that not all types of observations have the same scientific weight, in the sense of enabling the falsification of causal claims.

Alec East
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