More specifically Algernon's law seems to lean on the fallacy of humans being some kind of endpoint of evolution or perhaps a misunderstanding of the time scale

More specifically Algernon's law seems to lean on the fallacy of humans being some kind of endpoint of evolution or perhaps a misunderstanding of the time scales involved. The efficient market hypothesis and a number of other items here are useful ideas to know, but you simply have to understand the limited applicability of modeling humans as rational actors. It's the equivalent of spherical cows or frictionless planes in Physics.