The basic idea for The Alpha Strategy resulted from a study of economics in general and from many years of experience in investment markets. It would not have been possible to develop this simple concept without the foundation of rational economic theory provided by the cumulative work of a dozen major economists whose careers span the last two hundred years. My single greatest benefactor in the area of rational thought is a great teacher who I believe would prefer to go unnamed. His innovations in the field of volitional science, and his penetrating analysis of society offered me my first glimpse of the simple, natural laws that govern human behavior. Courses at his private enterprise educational institute provided me with the most pro- found intellectual experiences in my life, and permanently altered my view of the world. Although most of my writing has been influenced by him, he would not necessarily agree with all my arguments, nor with my ultimate conclusions. I credit the stream of knowledge which constitutes the 'Austrian' school of economics with providing the basis of my understanding of investment values. Built on the foundations of Adam Smith's monumental book. An Inquiry into the Nature and Causes of The Wealth of Nations (published in 1776), and the work of the English economist David Ricardo, the Austrian school actually started with Carl Monger in the nineteenth century. The ideas were refined and expanded by Eugen von Bohm- Bawerk, and then, in this century, the Austrian theory reached a new peak with the publication of Ludwig von Mises" Human Action.
