. In addition, stock prices are partly driven by noise, and therefore negatively predict returns on announcement days when … noise is revealed and the market corrects itself …

private sector, impairing the stabilizing effects of the policy. Using a theoretical model, we show that these signaling … identify fiscal news with different degrees of signaling effects and find that such effects weaken or, in extreme cases, even …

at odds with rational behavior. Differences in information quality in combination with asymmetric information lead to an … mimicked by access to the realization of a certain signal including its quality, as well as in an environment in which signal … quality is the only source of information asymmetry. Both scenarios support price patterns like momentum and reversal in a …

static models, where it acts as “noise,” in dynamic markets stochastic supply contains information about risk premiums …