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Two ex-ante variables are introduced to characterize the analysts' biased behavior, namely the analysts' disagreement and self-selection in analysts' earnings forecasts. The study investigates the impact of the analysts' disagreement and self-selection on the stock returns. A theoretical...
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interest. Kahneman and Tversky in 1979 suggested a more accurate description of preferences compared to expected utility theory … proposed as an indicator sensitive to the pertinent risk of financial investment. However this measures are indifferent to … extrema events risk. Based on the newly proposed riskiness index by Aumann and Serrano (2008), we construct the PROFIT Index …
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theory suggests that with increasing labor income risk, the reluctance of households to hold stocks increases. We propose to …
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