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Persistent link: https://www.econbiz.de/10005061362
In the present paper we consider a model for stock prices which is a generalization of the model behind the Black-Scholes formula for pricing European call options. We model the log-price as a deterministic linear trend plus a diffusion process with drift zero and with a diffusion coefficient...
Persistent link: https://www.econbiz.de/10005390700