We propose a simple classroom experiment on speculative bubbles: the Bubble Game. This game is useful to discuss about … market efficiency and trading strategies in a financial economics course, and about behavioral aspects in a game theory … cap on asset prices, speculative bubbles can arise at the Nash equilibrium because no trader is ever sure to be last in …

This paper develops a model of credit-driven bubbles and asks when it gives rise to the patterns that policymakers … consistent with observations on credit terms during historical episodes often suspected to be bubbles. …

The efficient markets hypothesis implies that, in the presence of rational investors, bubbles cannot develop. We …

part of this price volatility to speculation. This phenomenon is investigated by estimating a general regime … collapsing bubbles story about Irish agricultural land prices. …

This paper contributes to the debate on the link between speculation and price volatility in two ways. First, a simple … CAPM model is used to derive the demand for commodity futures contracts by institutional investors, and this derived demand … contract for rice in 1994. The theoretical and empirical analysis both demonstrate that speculation results in a first order …