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-- Eight. New Eras and Bubbles around the World -- Part Three. Psychological Factors -- Nine. Psychological Anchors for the …, Random Walks, and Bubbles -- Twelve. Investor Learning-and Unlearning -- Part Five. A Call to Action -- Thirteen. Speculative … Shiller, who warned of both the tech and housing bubbles, cautions that signs of irrational exuberance among investors have …
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This paper examines the economic environments in which past U.S. stock market booms occurred as a first step toward understanding how asset price booms come about and whether monetary policy should be used to defuse booms. We identify several episodes of sustained rapid rise in equity prices in...
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This paper examines the economic environments in which past U.S. stock market booms occurred as a first step toward understanding how asset price booms come about and whether monetary policy should be used to defuse booms. We identify several episodes of sustained rapid rise in equity prices in...
Persistent link: https://www.econbiz.de/10012467986
"We document a strong co-movement between the VIX, the stock market option-based implied volatility, and monetary policy. We decompose the VIX into two components, a proxy for risk aversion and expected stock market volatility ("uncertainty"), and analyze their dynamic interactions with monetary...
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