reverting and countercyclical (instead of constant in the standard model) market prices of risk, mean reverting and procyclical … (instead of constant) risk free rates, decreasing (instead of flat) yield curves in the long run, possibly higher returns and … higher risk premia in the long run (instead of a flat structure), momentum in stock returns in the short run, more variance …

This paper introduces a valuation model of international pricing in the presence of political risk. Shipments between … political risk is modelled as a continous time jump process that affects the drift of the returns in the politically unstable …

In this paper, we characterize subjective probability beliefs leading to a higher equilibrium market price of risk. We … establish that Abel's result on the impact of doubt on the risk premium is not correct in general; see Abel [2002. An … introduce, on the set of subjective probability beliefs, market-price-of-risk dominance concepts and we relate them to well …

and Stiglitz 'model. In this case, we show that the optimal contract exhibits a deductible for the high health risk type … low health risk type. …