By assuming that fundamentals matter, this article builds a discounted cash flow (DCF) model (which is assumed to be commonly used by fundamentalists) where the determination of the fundamental is affected by variables proxying for the unobserved firm quality and for the value of its real option...

The bulk of information and communication technology is made of weightless, implementable, and infinitely reproducible knowledge products (such as software and databases). These products are transferred by telephone lines, accessed through internet hosts, and processed through personal...