High equity premia and crash fears -- rational foundations (Q2502343)

From MaRDI portal
Revision as of 07:22, 5 March 2024 by Import240304020342 (talk | contribs) (Set profile property.)
scientific article
Language Label Description Also known as
English
High equity premia and crash fears -- rational foundations
scientific article

    Statements

    High equity premia and crash fears -- rational foundations (English)
    0 references
    0 references
    12 September 2006
    0 references
    This paper deals with Lucas-style economies and gives new contributions to equilibrium recursive rational learning. The key condition for these results to obtain is the presence of sufficient initial pessimism. Some real-world examples are added. Mathematically, to show the existence of equilibria, a global discussion of the modelling functions (having a stochastic behavior as background) is possible.
    0 references
    Rational learning
    0 references
    Equity premium
    0 references
    Initial pessimism
    0 references
    Lucas-style economy
    0 references

    Identifiers