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substantial bubbles …
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substantial bubbles …
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We present an extrapolative model of bubbles. In the model, many investors form their demand for a risky asset by … about fundamentals can trigger large price bubbles. We analyze the patterns of cash-flow news that generate the largest … bubbles, the reasons why bubbles collapse, and the frequency with which they occur. The model also predicts that bubbles will …
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We evaluate Eugene Fama's claim that stock prices do not exhibit price bubbles. Based on US industry returns 1926 …
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Closed-end mutual funds provide one of the few cases in which economists can observe quot;fundamentalquot; values directly, and compare them to market values: the fundamental value of a closed-end fund is simply the net asset value of its portfolio. We use the difference between prices and asset...
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Chinese housing prices rose by over 10 percent per year in real terms between 2003 and 2014, and are now between two and ten times higher than the construction cost of apartments. At the same time, Chinese developers built 100 billion square feet of residential real estate. This boom has been...
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