Existing studies on bubbles have been mainly concerned with investigating the stationarity properties of stock prices and market fundamentals. We develop a new method of testing for bubbles that relates the bubble component of stock prices to the probability of bursting in the context of the...

The economic performance that South Korea has achieved over the past quarter century is often likened to a 'miracle'. Recently, much interest has been expressed in the driving forces behind the Korean economic transformation. Using the valueadded measure of output, Christiansen and Cummings have...