One of the common reasons given for issuing inflation-indexed government securities is to avoid paying a risk premium on nominal, non-indexed securities to compensate investors for uncertain inflation. Paradoxically, a number of countries began issuing inflation indexed bonds during a period of...

We examine the creation of a low-cost optimal risky portfolio that individual investors can easily construct and manage. We consider five index mutual funds and three precious metals that are easy for investors to trade. Collectively, the mutual funds track the returns of the entire U.S. equity...

We examine the investment potential and risk-hedging characteristics of platinum, palladium, and rhodium by analyzing returns on their spot prices and comparing them with gold, crude oil, and stocks. The three characteristics that we examine that may be of the most importance to investors are...

We estimate the New Keynesian Phillips Curve for the USA from 1997 to 2019 using expected inflation from financial instruments. We use a spliced series comprised of the TIPS spread and inflation swaps. Empirical tests find higher coefficients on backward-looking inflation than forward-looking,...

The analysis examines the wagering behavior of the quot;uninformedquot; bettor. Using data from a second tier racetrack, the high correlation between subjective and objective probabilities suggests an efficient win pool. However, the results fail to demonstrate the public's tendency to underbet...