Financial leverage and market volatility with diverse beliefs

DOI10.1007/s00199-010-0548-8zbMath1214.91065MaRDI QIDQ540414

Wen-Chung Guo, Ho-Mou Wu, Frank Yong Wang

Publication date: 3 June 2011

Published in: Economic Theory (Search for Journal in Brave)

Full work available at URL: https://doi.org/10.1007/s00199-010-0548-8

zbMATH Keywords

leverage effect; diverse beliefs; financial leverage; pyramiding/depyramiding effect; stock price volatility

Mathematics Subject Classification ID

91B50: General equilibrium theory

Related Items

Monetary policy and heterogeneous expectations, Business cycle amplification with heterogeneous expectations, The diversity of forecasts from macroeconomic models of the US economy, Diverse beliefs and time variability of risk premia, Expectational coordination in simple economic contexts. Concepts and analysis with emphasis on strategic substituabilities, Welfare effects of short-sale constraints under heterogeneous beliefs

Cites Work

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