Alan, Sule - In: Quantitative economics : QE ; journal of the … 3 (2012) 1, pp. 1-28
It has been argued that rare economic disasters can explain most asset pricing puzzles. If this is the case, perceived … the perceived risk of disasters (both probability and expected size) that is consistent with observed portfolios and … a college degree can be partially explained by expectations of stock market disasters only if one allows for a large …