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The paper seeks to lay out a stock-flow-based theoretical framework that provides a foundation for a general theory of pricing. Contemporary marginalist economics is usually based on the assumption that prices are set in line with the value placed on goods by consumers. It does not take into...
Persistent link: https://www.econbiz.de/10010211946
This paper analyzes whether the market portfolio is efficiently related to benchmark portfolios formed on size, value, momentum and reversal with various utility theories by using stochastic dominance criteria. The results support the prospect theory including assumption of loss aversion at...
Persistent link: https://www.econbiz.de/10013107334
signaling hypothesis, Chinese IPO firms exhibit increased operating/stock performance subsequent to bonus issues. Interestingly …
Persistent link: https://www.econbiz.de/10010492409
portfolios to investors. We extend the signaling model for single sales of risky assets to portfolio sales. We identify … conditions under which signaling at the portfolio level dominates signaling at the single asset level. In particular, when banks …
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We study the relevance of signaling and marketing as explanations for the discount control mechanisms that a closed …
Persistent link: https://www.econbiz.de/10011901259
The signaling hypothesis suggests that firms have incentives to underprice their initial public offerings (IPOs) to … empirical evidence on the signaling hypothesis was weak, Francis et al. (2010) show that foreign firms from segmented (rather … players. Hence, the attractiveness of the signaling strategy seems to be related to the a priori level of information …
Persistent link: https://www.econbiz.de/10009775653