The mathematical language of academic finance: a paradigmatic look

Any adequate analysis of the nature and role of the mathematical language in finance necessarily requires fundamental understanding of the worldviews underlying the views expressed with respect to the nature and role of language. This paper starts with the premise that any worldview can be positioned on a continuum formed by four basic paradigms: functionalist, interpretive, radical humanist, and radical structuralist. It looks at the current state of mainstream academic finance and notes that it is founded on the functionalist paradigm. It argues that any view expressed with respect to the nature and role of language is based on one of the worldviews. It discusses four views expressed with respect to the nature and role of language. Each of the views expressed is based on one of the four paradigms mentioned previously. The paper emphasizes that the four views expressed are equally scientific and informative; they look at the nature and role of language from a certain paradigmatic viewpoint.