On the dynamics of stock price bubbles

Author(s)
Gerhard Sorger
Abstract

We consider the model by Miao and Wang (Am Econ Rev 108:2590-2628, 2018), in which endogenous collateral constraints may generate stock price bubbles. Whereas Miao and Wang (2018) characterize the local dynamics around stationary equilibria only under the assumption of risk neutral households, we extend this characterization to the case of risk aversion.

Organisation(s)
Department of Economics
Journal
Central European Journal of Operations Research
Volume
28
Pages
521-537
No. of pages
17
ISSN
1435-246X
DOI
https://doi.org/10.1007/s10100-019-00650-z
Publication date
06-2020
Peer reviewed
Yes
Austrian Fields of Science 2012
502047 Economic theory
Keywords
ASJC Scopus subject areas
Management Science and Operations Research
Portal url
https://ucrisportal.univie.ac.at/en/publications/56c7b81d-e2b5-48a1-b451-3738836b4305