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Main description: In the wake of the global financial crisis that began in 2007, faith in the rationality of markets has lost ground to a new faith in their irrationality. The problem, Roman Frydman and Michael Goldberg argue, is that both the rational and behavioral theories of the market rest...
Persistent link: https://www.econbiz.de/10014488008
the most graphic warning to investors of the dangers of unbridled speculation. Yet history repeats itself and the same …
Persistent link: https://www.econbiz.de/10014488400
the most graphic warning to investors of the dangers of unbridled speculation. Yet history repeats itself and the same …
Persistent link: https://www.econbiz.de/10012690389
Persistent link: https://www.econbiz.de/10009532925
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We revisit the effect of traders' experience on price bubbles by introducing either one-third or two-thirds steady … inflow of new traders in the repeated experimental asset markets. We find that bubbles are not significantly abated by the … bubbles depends on the proportion of new traders in the market. Our findings identify a market environment where experience is …
Persistent link: https://www.econbiz.de/10013111233
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, we ask the following question: As to what extent are speculative bubbles predictable during a financial crisis? Knowledge … bubbles during the 2008–2009 US subprime crisis. The data used in the study are daily SENSEX values (i.e., combination of …
Persistent link: https://www.econbiz.de/10015087428