Irrational analyst' expectations as a cause of excess volatility in stock prices
Article Abstract:
An analysis of cross-section data of stock prices and analysts' five-year earnings forecasts of a wide range of US companies reveals that stock price volatility is connected with excess volatility of earnings forecasts. Forecast errors result to stock price dispersion where stocks with low expectations are underpriced while stocks with high expectations are overestimated. Prices, however, adjust accordingly as the errors become evident.
Publication Name: Economic Journal
Subject: Economics
ISSN: 0013-0133
Year: 1997
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Book Review: Irrational Exuberance by Robert Shiller
Article Abstract:
The book is about irrational exuberance that characterized the stock market which was being overvalued and headed towards a speculative bubble. From a historical perspective the events of 1929 and 1966 show similarities and it is forecast that returns in the market will be substantially lower.
Publication Name: International Journal of Forecasting
Subject: Economics
ISSN: 0169-2070
Year: 2001
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A review of Stata 8.1 and its time series capabilities
Article Abstract:
Stata is a general purpose statistical package with an accessible programming language. The uses of the software Stata 8.1 are described.
Publication Name: International Journal of Forecasting
Subject: Economics
ISSN: 0169-2070
Year: 2004
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