Folie 1 - Rainer Maurer
... Yes! There are two set of assumptions under which bubbles can be rational: 1. Exponentially growing imploding bubbles …are possible, if the price increase is large enough to compensate holders of the bubble-asset for the risk of bubble implosion, i.e. if the risk premium is constantly growing. It is ...
... Yes! There are two set of assumptions under which bubbles can be rational: 1. Exponentially growing imploding bubbles …are possible, if the price increase is large enough to compensate holders of the bubble-asset for the risk of bubble implosion, i.e. if the risk premium is constantly growing. It is ...
Managerial Estimates - centerforpbbefr.rutgers.edu
... changes, all enhancing business uncertainty, and making accounting forecasts (asset write-offs, options expense) increasingly difficult. Managers’ manipulation of financial information by misestimates and biased forecasts. They can do it with impunity. ...
... changes, all enhancing business uncertainty, and making accounting forecasts (asset write-offs, options expense) increasingly difficult. Managers’ manipulation of financial information by misestimates and biased forecasts. They can do it with impunity. ...
World Residential Markets
... the latest available at the time of going to press. Sources are included for all the charts. We have used a standard set of notes and abbreviations throughout the document. Savills plc Savills is a leading global real estate service provider listed on the London Stock Exchange. The company establish ...
... the latest available at the time of going to press. Sources are included for all the charts. We have used a standard set of notes and abbreviations throughout the document. Savills plc Savills is a leading global real estate service provider listed on the London Stock Exchange. The company establish ...
NBER WORKING PAPER SERIES PREVENTING FINANCIAL CRISES: AN INTERNATIONAL PERSPECTIVE Frederic S. Mishkin
... activities when they make private loans. Financial intermediaries thus receive the benefits of monitoring and so are better equipped to prevent moral hazard on the part of borrowers. The fifth fact that banks are the most important player in channeling credit to borrowers is explained by their advan ...
... activities when they make private loans. Financial intermediaries thus receive the benefits of monitoring and so are better equipped to prevent moral hazard on the part of borrowers. The fifth fact that banks are the most important player in channeling credit to borrowers is explained by their advan ...
Regulatory Developments in the FinTech Space
... third-party lending risk, the Guidance reflects the FDIC’s increasing focus on MPL activities, especially in light of recent judicial decisions.4 Comments on the Guidance are due by October 27, 2016. Overview of the Guidance In 2008, the FDIC released its Guidance for Managing Third-Party Risk focus ...
... third-party lending risk, the Guidance reflects the FDIC’s increasing focus on MPL activities, especially in light of recent judicial decisions.4 Comments on the Guidance are due by October 27, 2016. Overview of the Guidance In 2008, the FDIC released its Guidance for Managing Third-Party Risk focus ...
Monopoly
... to different customers, even though the costs for producing for the two customers are the same. ...
... to different customers, even though the costs for producing for the two customers are the same. ...
Sovereign CDS and Bond Pricing Dynamics in the Euro-area
... 2 O. Arce et al., 2011. Their country sample and approach dier from ours. They apply a statistical arbitrage test (Hogan, Teo, and Warachka, 2004) on the CDS-bond basis trying to assess whether the existence of a non-zero basis has either to be seen as a consequence of market frictions or has to be ...
... 2 O. Arce et al., 2011. Their country sample and approach dier from ours. They apply a statistical arbitrage test (Hogan, Teo, and Warachka, 2004) on the CDS-bond basis trying to assess whether the existence of a non-zero basis has either to be seen as a consequence of market frictions or has to be ...
Lasco Manufacturing Limited
... Profit Projections For the year ending March 2012 we expect Lasco manufacturing to generate revenues of $3.56 billion with gross margins at 31%. Additionally, the company will pay zero taxation and net profit should amount to $552 million (EPS:$1.43) or 37% above the prior year. Based on the dividen ...
... Profit Projections For the year ending March 2012 we expect Lasco manufacturing to generate revenues of $3.56 billion with gross margins at 31%. Additionally, the company will pay zero taxation and net profit should amount to $552 million (EPS:$1.43) or 37% above the prior year. Based on the dividen ...
M08_MishkinEakins3427056_08_FMI_C08
... same. • Real value of liabilities rise to $99 million (in 2015 dollars), and so net worth falls to just $1 million! Copyright ©2015 Pearson Education, Inc. All rights reserved. ...
... same. • Real value of liabilities rise to $99 million (in 2015 dollars), and so net worth falls to just $1 million! Copyright ©2015 Pearson Education, Inc. All rights reserved. ...
Download paper (PDF)
... The notion of regimes is closely linked to the familiar concept of good and bad states or states with low versus high risk, but surprising and somewhat counterintuitive results can be obtained from equilibrium asset pricing models with regime changes. Conventional linear asset pricing models imply a ...
... The notion of regimes is closely linked to the familiar concept of good and bad states or states with low versus high risk, but surprising and somewhat counterintuitive results can be obtained from equilibrium asset pricing models with regime changes. Conventional linear asset pricing models imply a ...
Islamic Economics Rules and the Stock Market
... Since transactions are accepted from an Islamic point of view if the qualities and flaws of the stocks transacted were known to the buyer(s) and seller(s) (rules 2 and 4), Kia (2001, p. 48) proposes “the following policy rules: (a) Under an Islamic framework the central bank and the government shoul ...
... Since transactions are accepted from an Islamic point of view if the qualities and flaws of the stocks transacted were known to the buyer(s) and seller(s) (rules 2 and 4), Kia (2001, p. 48) proposes “the following policy rules: (a) Under an Islamic framework the central bank and the government shoul ...
Pollution as News - Kellogg School of Management
... environmental and financial performance have neglected to take the issue of contemporaneous correlation into account, thus may misestimate the effect on stock returns. This paper aims to correct that omission and to begin to explore how, in more subtle ways, pollution is news to the market and affec ...
... environmental and financial performance have neglected to take the issue of contemporaneous correlation into account, thus may misestimate the effect on stock returns. This paper aims to correct that omission and to begin to explore how, in more subtle ways, pollution is news to the market and affec ...
METLIFE INC (Form: 8-K, Received: 05/21/2013 06
... materially from those expressed or implied in the forward-looking statements. Predictions of future performance are inherently difficult and are subject to numerous risks and uncertainties, including those identified in the “Risk Factors” section of MetLife, Inc.’s filings with the U.S. Securities a ...
... materially from those expressed or implied in the forward-looking statements. Predictions of future performance are inherently difficult and are subject to numerous risks and uncertainties, including those identified in the “Risk Factors” section of MetLife, Inc.’s filings with the U.S. Securities a ...
The PRS Group
... Year’s sum of interest and principal repayments on external public and publicly guaranteed debt as a percentage of XGS. A measure of, not just whether there are free and fair elections, but how responsive government is to its people. The less responsive it is, the more likely it will fall. Even demo ...
... Year’s sum of interest and principal repayments on external public and publicly guaranteed debt as a percentage of XGS. A measure of, not just whether there are free and fair elections, but how responsive government is to its people. The less responsive it is, the more likely it will fall. Even demo ...
Corporate Governance, Ownership Structure Perspective and Firm
... consistent with the principal’s preferences. In December 1972, Ross presented his paper entitled “The economic theory of agency: The principal’s problem” at the annual meeting of the American Economic Association. The paper by Ross (1973) outlined agency as a universal principle and not just a theor ...
... consistent with the principal’s preferences. In December 1972, Ross presented his paper entitled “The economic theory of agency: The principal’s problem” at the annual meeting of the American Economic Association. The paper by Ross (1973) outlined agency as a universal principle and not just a theor ...
GIS BASED DECISION SUPPORT SYSTEM FOR SEISMIC RISK IN
... four main phases: (i) the intelligence phase, where the system is described and understood, then the problem is identified and the objectives are set; (ii) the design phase, in which feasible alternatives are generated after formulating and validating the model; (iii) the choice phase, in which the ...
... four main phases: (i) the intelligence phase, where the system is described and understood, then the problem is identified and the objectives are set; (ii) the design phase, in which feasible alternatives are generated after formulating and validating the model; (iii) the choice phase, in which the ...
Can a "Credit Crunch" Be Efficient?
... If one accepts the thesis that a "credit crunch" sometimes occurs, however, then one must reject at least one of these last two arguments.4 Indeed, some economists do have doubts about how well these two arguments apply to the credit markets to which consumers and all but the largest business turn f ...
... If one accepts the thesis that a "credit crunch" sometimes occurs, however, then one must reject at least one of these last two arguments.4 Indeed, some economists do have doubts about how well these two arguments apply to the credit markets to which consumers and all but the largest business turn f ...
Guide to Cert May 033.2 (Page 1)
... Consistent with this mission and its role as a source of expertise on the financial planning profession, CFP Board, from time to time, conducts consumer research to: • Understand consumer expectations of financial planners and their satisfaction with the financial planning experience. • Develop demo ...
... Consistent with this mission and its role as a source of expertise on the financial planning profession, CFP Board, from time to time, conducts consumer research to: • Understand consumer expectations of financial planners and their satisfaction with the financial planning experience. • Develop demo ...
Cost of Capital in Imperfect Competition Settings
... literature, we define cost of capital to be the extent to which investors discount firms' share prices relative to the expected value of firms' cash flows. To highlight the impact of asymmetric information and imperfect competition, we compare cost of capital in settings where we hold investors' ave ...
... literature, we define cost of capital to be the extent to which investors discount firms' share prices relative to the expected value of firms' cash flows. To highlight the impact of asymmetric information and imperfect competition, we compare cost of capital in settings where we hold investors' ave ...
Home bias and international risk sharing
... Considering income and consumption risk sharing together it seems that equity assets and FDI liabilities are conducive for risk sharing, but the empirical evidence for such a breakdown is not strong, in particular for consumption risk sharing. ...
... Considering income and consumption risk sharing together it seems that equity assets and FDI liabilities are conducive for risk sharing, but the empirical evidence for such a breakdown is not strong, in particular for consumption risk sharing. ...
CHAPTER 11: Input Demand: The Capital Market and the
... The Expected Rate of Return and the Marginal Revenue Product of Capital A perfectly competitive profit-maximizing firm will keep investing in new capital up to the point at which the expected rate of return is equal to the interest rate. This is analogous to saying that the firm will continue invest ...
... The Expected Rate of Return and the Marginal Revenue Product of Capital A perfectly competitive profit-maximizing firm will keep investing in new capital up to the point at which the expected rate of return is equal to the interest rate. This is analogous to saying that the firm will continue invest ...