Voting machine and weighing machine
Benjamin Grahams description: in the short run the market is a voting machine, and in the long run it is a weighing machine.
This one is not written up yet
The definition above is the short version. A full explanation — how it works, a worked example and the exam traps — is still being written. In the meantime the chapter below covers it in context.
Written up from the same chapter
Where this is taught
Free preparation for NISM Series X-B← All terms