Author: Amin H. AmershiPublisher:
ISBN:
Category : Capital market
Languages : en
Pages : 76
Book Description
Rational Expectations Equilibrium in an Economy with Segmented Capital Asset Markets
Author: Amin H. AmershiPublisher:
ISBN:
Category : Capital market
Languages : en
Pages : 76
Book Description
Rational Expectations Equilibrium in a Large Economy with Segmented Asset Markets
Author: Buddhavarapu Sailesh RamamurtiePublisher:
ISBN:
Category :
Languages : en
Pages : 378
Book Description
Learning and Convergence to a Noisy Rational Expectations Equilibrium in an Asset Market Model
Author: Margaritis, DimitrisPublisher:
ISBN:
Category : Market (Economics)
Languages : en
Pages : 28
Book Description
Rational Expectations
Author: Steven M. SheffrinPublisher: Cambridge University Press
ISBN: 9780521479394
Category : Business & Economics
Languages : en
Pages : 204
Book Description
This book develops the idea of rational expectations and surveys its use in economics today.
Assessing Rational Expectations 2
Author: Roger GuesneriePublisher: MIT Press
ISBN: 9780262262903
Category : Business & Economics
Languages : en
Pages : 498
Book Description
A theoretical assessment of the Rational Expectations Hypothesis through subjecting a collection of economic models to an "eductive stability" test. The rational expectations hypothesis (REH) dominates economic modeling in areas ranging from monetary theory, macroeconomics, and general equilibrium to finance. In this book, Roger Guesnerie continues the critical analysis of the REH begun in his Assessing Rational Expectations: Sunspot Multiplicity and Economic Fluctuations, which dealt with the questions raised by multiplicity and its implications for a theory of endogenous fluctuations. This second volume emphasizes "eductive" learning: relying on careful reasoning, agents must deduce what other agents guess, a process that differs from the standard evolutionary learning experience in which agents make decisions about the future based on past experiences. A broad "eductive" stability test is proposed that includes common knowledge and results in a unique "rationalizable expectations equilibrium." This test provides the basis for Guesnerie's theoretical assessment of the plausibility of the REH's expectational coordination, emphasizing, for different categories of economic models, conditions for the REH's success or failure. Guesnerie begins by presenting the concepts and methods of the eductive stability analysis in selected partial equilibrium models. He then explores to what extent general equilibrium strategic complementarities interfere with partial equilibrium considerations in the formation of stable expectations. Guesnerie next examines two issues relating to eductive stability in financial market models, speculation and asymmetric price information. The dynamic settings of an infinite horizon model are then taken up, and particular standard and generalized saddle-path solutions are scrutinized. Guesnerie concludes with a review of general questions and some "cautious" remarks on the policy implications of his analysis.
A Noisy Rational Expectations Equilibrium for Multi-asset Securities Markets
Author: Anat R. AdmatiPublisher:
ISBN:
Category : Rational expectations (Economic theory)
Languages : en
Pages : 37
Book Description
Rational Expectations Equilibrium in a Market with Restricted Access to Differential Information
Author: Belinda Ann Brewer GillettePublisher:
ISBN:
Category : Rational expectations (Economic theory)
Languages : en
Pages : 218
Book Description
Rational Expectations, Information and Asset Markets
Author: M. BrayMulti-asset Noisy Rational Expectations Equilibrium with Contingent Claims
Author: Inside and Outside Liquidity
Author: Bengt HolmstromPublisher: MIT Press
ISBN: 0262518538
Category : Business & Economics
Languages : en
Pages : 263
Book Description
Two leading economists develop a theory explaining the demand for and supply of liquid assets. Why do financial institutions, industrial companies, and households hold low-yielding money balances, Treasury bills, and other liquid assets? When and to what extent can the state and international financial markets make up for a shortage of liquid assets, allowing agents to save and share risk more effectively? These questions are at the center of all financial crises, including the current global one. In Inside and Outside Liquidity, leading economists Bengt Holmström and Jean Tirole offer an original, unified perspective on these questions. In a slight, but important, departure from the standard theory of finance, they show how imperfect pledgeability of corporate income leads to a demand for as well as a shortage of liquidity with interesting implications for the pricing of assets, investment decisions, and liquidity management. The government has an active role to play in improving risk-sharing between consumers with limited commitment power and firms dealing with the high costs of potential liquidity shortages. In this perspective, private risk-sharing is always imperfect and may lead to financial crises that can be alleviated through government interventions.