Random multiplicative returns alone only produce log-normal distributions, not power laws; to get a power law, some other mechanism must be at play beyond simple multiplicative randomness.
causalpending
Speaker
Derek MullerEvidence 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”
Created: 8/11/2026, 6:45:34 AM
My Notes
Loading notes...