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Financial instability: Contagion effects, risk premiums, and returns in equity and currency markets

✍ Scribed by L.P. Blenman


Book ID
116577228
Publisher
Elsevier Science
Year
2004
Tongue
English
Weight
124 KB
Volume
13
Category
Article
ISSN
1057-5219

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An Alternative Estimation Method of the
✍ Martti Luoma; Petri SahlstrΓΆm; Reijo Ruuhela πŸ“‚ Article πŸ“… 2006 πŸ› Elsevier Science 🌐 English βš– 109 KB

This paper develops a method to estimate the equity risk premium. The method exploits the Earn Back Period (EBP) formula presented by Luoma and Ruuhela (2001), which is a generalization of the P/E ratio. The EBP has a clear theoretical interpretation and can be used to compare stocks with different