The Golden Ratio is a magical number approximately equal to 1.6180339887. This number has intrigued mathematicians, artists, and scientists for centuries due to its unique properties and prevalence in nature.
The Golden Ratio, often denoted by the Greek letter phi (φ), is a mathematical concept representing a special proportion found in nature, art, architecture, and even financial markets. It's a ratio where the ratio of two quantities is the same as the ratio of their sum to the larger of the two quantities. Mathematically, it's expressed as:
φ = (a + b) / a = a / b
The Golden Ratio appears in various forms throughout nature. It can be seen in the arrangement of leaves on a stem, the spiral patterns of shells, the branching of trees, and the proportions of the human body. In art and architecture, many famous structures and artworks, such as the Parthenon in Greece and Leonardo da Vinci's Vitruvian Man, adhere to the Golden Ratio.
The Golden Ratio is a fascinating mathematical concept that transcends disciplines, influencing art, architecture, nature, and even financial markets. Its aesthetic appeal and apparent prevalence in the world around us continue to captivate the imagination of scholars and enthusiasts alike. Whether it's through the graceful spirals of a seashell or the intricate patterns of a stock market chart, the Golden Ratio serves as a reminder of the underlying harmony and order in the universe.
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A measure used in order to assess the efficiency of an investment. The ratio between net profit and net cost.