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This paper studies the links between the descriptions of macroeconomicvariables and statistical moments of market trade, price, and return. Therandomness of market trade values and volumes during the averaging interval{\Delta} results in the random properties of price and return. We describe howaverages and volatilities of price and return depend on the averages,volatilities, and correlations of market trade values and volumes. Theaverages, volatilities, and correlations of market trade, price, and return canbehave randomly during the long interval {\Delta}2>>{\Delta}. To describe theirstatistical properties during the long interval {\Delta}2, we introduce thesecondary averaging procedure of trade, price, and return. We explain why, inthe coming years, predictions of market-based probabilities of price and returnwill be limited by Gaussian distributions. We discuss the roots of the internalweakness of the commonly used hedging tool, Value-at-Risk, that cannot besolved and remains the source of additional risks and losses. One shouldconsider theoretical economics as a set of successive approximations, each ofwhich describes the next array of the n-th statistical moments of markettrades, price, return, and macroeconomic variables, which are repeatedlyaveraged during the sequence of increasing time intervals.

Theoretical Economics as Successive Approximations of Statistical Moments