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be used to construct and assess predictions about future prices, their volatility, and their probability distributions … volatility models, high-frequency datasets, and the information that option prices imply about volatility and distributions …. Asset Price Dynamics, Volatility, and Prediction is ideal for students of economics, finance, and mathematics who are …
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Modern financial markets offer the real world's best approximation to the idealized price auction market envisioned in economic theory. Nevertheless, as the increasingly exquisite and detailed financial data demonstrate, financial markets often fail to behave as they should if trading were truly...
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Investors have too often extrapolated from recent experience. In the 1950s, who but the most rampant optimist would have dreamt that over the next fifty years the real return on equities would be 9% per year? Yet this is what happened in the U.S. stock market. The optimists triumphed. However,...
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