RATIONAL ASSET PRICING BUBBLES

Authors
SANTOS MS WOODFORD M
Citation
Ms. Santos et M. Woodford, RATIONAL ASSET PRICING BUBBLES, Econometrica, 65(1), 1997, pp. 19-57
Citations number
36
Categorie Soggetti
Economics,"Social Sciences, Mathematical Methods","Mathematical, Methods, Social Sciences","Statistic & Probability","Mathematics, Miscellaneous
Journal title
Econometrica → ACNP
ISSN journal
00129682
Volume
65
Issue
1
Year of publication
1997
Pages
19 - 57
Database
ISI
SICI code
0012-9682(1997)65:1<19:RAPB>2.0.ZU;2-5
Abstract
This paper provides a fairly systematic study of general economic cond itions under which rational asset pricing bubbles may arise in an inte rtemporal competitive equilibrium framework Our main results are conce rned with nonexistence of asset pricing bubbles in those economies. Th ese results imply that the conditions under which bubbles are possible -including some well-known examples of monetary equilibria-are relati vely fragile.