Major bubble episodes are rare events. In this paper, we examine what factors might cause some asset price bubbles to …

We provide a theory to investigate the implications of time-varying bailout policy for rational bubbles in an infinite …-horizon production economy. In particular, we ask two questions. First, should the government bail out asset bubbles? Second, if yes, how … bubbles are vulnerable to market sentiment and resource-consuming. The systematic risk of bubble bursting causes both asset …

Major bubble episodes are rare events. In this paper, we examine what factors might cause some asset price bubbles to …

Major bubble episodes are rare events. In this paper, we examine what factors might cause some asset price bubbles to …

We study the existence and international transmission of housing market bubbles, using quarterly information of twenty … OECD countries for the period comprised between 1970 and 2015. We find that housing bubbles are present in all the … countries included in our sample. Multiple bubbles are found in all but two of those countries. We find five episodes of …

bubbles it is lower. Lower Spillover Persistence also associates with a more fragile system, e.g., a higher probability of …

reflects very well the financial market crises and pricing bubbles over the past 20 years. …

We develop a model of rational bubbles based on the assumptions of unknown market liquidity and limited liability of … condition for whether rational bubbles are possible. Based on this analysis, we discuss several widely-discussed policy measures … with respect to their effectiveness in preventing bubbles. A reduction of manager bonuses or a Tobin tax can create or …