Thomas Kuhn, The Structure of Scientific Revolutions (1962), elucidates the process by which new information is transformed into knowledge.  A cyclical process of continuing modification.  Kuhn, working in the history of science, identified periods of “Normal Science” in which most scientists work on problems approved by the dominant “Paradigm”; a period in which “Anomalies” that are inexplicable under the paradigm accumulate;  precipitating a “Crisis”, eventually leading to “Revolution”;  Out of the Revolution eventually emerges a new Paradigm.  And the cycle begins.

This conceptual framework is particularly useful when applied to financial markets.