As we show using the notion of equilibrium in the theory of infinite sequential games, bubbles and escalations are …

can give rise to Ponzi schemes and rational bubbles. We show that under the same institutional arrangements that limit re … Ponzi schemes are prevented without having to assume uniform impatience, (2) for securities in positive net supply, bubbles … are ruled out under complete markets but may occur when markets are incomplete. We give an example of such a bubble, under …

communities in the fields of agriculture, herding and agroforestry. …

Using the traditional herding measure of Lakonishok, Shleifer and Vishny (1992) (LSV) and the more recent measure of … Frey, Herbst and Walter (2007) (FHW), we assess herding by French equity mutual funds between 1999 and 2005. We show that … LSV herding amounts to 6.5%, while FHW herding is approximately 2.5 times stronger. We find that herding is stronger in …

This paper addresses the traditional Lakonishok, Shleifer and Vishny (LSV) herding measure and points out its lack of … formal explanation of this bias and propose a more appropriate measure of herding. We then turn to the properties of the new … propose a corrected version of their indicator. We also show that the real herding value is within an interval bounded by LSV …

the fundamental asset value and the recurrent presence of autonomous deviations or bubbles. Such a process can be … common procedure in the presence of localizing parameters. This methodology allows to detect the presence of bubbles and …

market. We find that the existence of bonus contracts does not increase the likelihood of bubbles but it affects their …

a steady state with a positive rational bubble, characterized by the dynamically efficient golden rule. The issue we … consider a simple overlapping generations model with three assets : money, capital and a pure bubble (bonds). Collateral … matters because increasing his portfolio in capital and bubble, the household reduces the share of his consumption paid by …