Peer Review

AAA

DEFINITION of 'Peer Review'

A process by which one's colleagues assess the quality and accuracy of one's research papers. Peer review is most frequently employed within academia, where professors evaluate each others' work before it is published in major research journals.


The system of peer review is used because, in much high-level academic work, there are relatively few experts in the world with sufficient knowledge to properly critique new research findings. For example, many theories in economics and finance are peer reviewed before they are published in journals.

INVESTOPEDIA EXPLAINS 'Peer Review'

Peer review is sometimes criticized where reviewers are perceived to be unfair in their assessments. Since review is most often anonymous, there is little accountability for reviewers. This can lead to problems where, for instance, reviewers may be biased against work which is not in accordance with mainstream theory.


In addition, peer review is often a slow process. Reviewing work does not bring prestige in the way that generating new research does. Thus, reviewing others' work is often a lower priority. Since peer review often goes through several rounds, it may take months or years to complete the process.

RELATED TERMS
  1. Peer Group

    A group of individuals or entities who share similar characteristics ...
  2. Research Activities Credit

    A nonrefundable federal tax credit implemented in 1981 as an ...
  3. Research Note

    A statement from a brokerage firm or other investment advisory ...
  4. Center For Research In Security ...

    A research center at the University of Chicago Graduate School ...
  5. National Bureau of Economic Research ...

    This private, non-profit, non-partisan research organization's ...
  6. Centre for European Economic Research

    A nonprofit economic research institution based in Germany involved ...
Related Articles
  1. Professionals

    Quants: The Rocket Scientists Of Wall Street

    Blend math, finance and computer skills to command a high - and well deserved - salary.
  2. Options & Futures

    Fee-Based Research: The Good, The Bad And The Ugly

    Providing information on stocks that would otherwise not be available, fee-based research plays an important but complicated role in the market.
  3. Personal Finance

    Testing 3 Types Of Analysts

    Different clients require different research reports. Which type of analyst do you need?
  4. Investing

    The Ins and Outs Of In-Process R&D Expenses

    Are these charge-offs fair accounting or earnings manipulation? Learn more here.
  5. Fundamental Analysis

    What are the most common issues with Serial Correlation in stocks?

    Read about the concept of serial correlation in stock returns, and learn why market analysts are divided about the efficacy of trading based on stock patterns.
  6. Bonds & Fixed Income

    How do I calculate yield to maturity of a zero coupon bond?

    Find out how to calculate the yield to maturity for a zero coupon bond, and see why this calculation is more simple than a bond with a coupon.
  7. Fundamental Analysis

    What does the term 'invisible hand' refer to in the economy?

    Discover and understand the concept of the "invisible hand" as explained by Adam Smith, considered the founder of modern economic theory.
  8. Fundamental Analysis

    At what level is the current account deficit considered excessive, in terms of percent?

    Take a deeper look at the variables that impact current account deficits, and learn why not all types of deficits have equal impacts on a nation's economy.
  9. Fundamental Analysis

    What is the difference between yield and rate of return?

    Read about the differences between yield and rate of return. See why many novice investors often struggle more with the concept of yield.
  10. Personal Finance

    Is a NYU Degree Worth the Steep Tuition Bill?

    The cost of attending NYU is above average, even for private universities. But research shows it can still be a good value.

You May Also Like

Hot Definitions
  1. Portfolio Turnover

    A measure of how frequently assets within a fund are bought and sold by the managers. Portfolio turnover is calculated by ...
  2. Commercial Paper

    An unsecured, short-term debt instrument issued by a corporation, typically for the financing of accounts receivable, inventories ...
  3. Federal Funds Rate

    The interest rate at which a depository institution lends funds maintained at the Federal Reserve to another depository institution ...
  4. Fixed Asset

    A long-term tangible piece of property that a firm owns and uses in the production of its income and is not expected to be ...
  5. Break-Even Analysis

    An analysis to determine the point at which revenue received equals the costs associated with receiving the revenue. Break-even ...
  6. Key Performance Indicators - KPI

    A set of quantifiable measures that a company or industry uses to gauge or compare performance in terms of meeting their ...
Trading Center