When it comes to "narrative", we usually understand it as "storytelling". Not really. Narrative Economics, the latest book written by Nobel prize-winning economist Robert Shiller, provides us with a brand-new perspective. Shiller discovered the critical role of "narrative" in financial asset pricing and market volatility: events themselves may not be important, but the way the "story" is processed, encoded, processed, and embellished matters a lot. If the same event is interpreted from differ...

When it comes to "narrative", we usually understand it as "storytelling". Not really. Narrative Economics, the latest book written by Nobel prize-winning economist Robert Shiller, provides us with a brand-new perspective. Shiller discovered the critical role of "narrative" in financial asset pricing and market volatility: events themselves may not be important, but the way the "story" is processed, encoded, processed, and embellished matters a lot. If the same event is interpreted from differ...