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Purely random multiplicative returns generate log-normal distributions, not power laws, so other mechanisms beyond random multiplication must be at play to produce power law distributions

factualpending

Speaker

Derek Muller

Evidence Quote

“totally random multiplicative returns give you a log normal distribution, not a power law. To get a power law, there must be some other mechanism at play.”

Source

You've (Likely) Been Playing The Game Of Life Wrong— Veritasium
Created: 8/11/2026, 7:21:07 AM

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