In a widely cited article, DiMasi, Hansen, and Grabowski (2003) estimate the average pre-tax cost of bringing a new molecular entity to market. Their base case estimate, excluding post-marketing studies, was $802 million (in $US 2000). Strikingly, almost half of this cost (or $399 million) is the cost of capital (COC) used to fund clinical development expenses to the point of FDA marketing appr...

The Fama-MacBeth [1] cross-sectional regression technique is a mainstay of empirical finance. Yet researchers and practitioners are forced to reinvent the wheel when implementing this method because the original data and code are not available. Some might think, “Fama and MacBeth’s description of what they did is clear enough and it’s easy to program this method.” Yet, anyone who possesses even...

a r t i c l e i n f o Keywords: Investor sentiment Stock returns Chinese A-share stock market Firm characteristics Penalized panel quantile regression model This paper employs the panel quantile regression model to study the nonlinear effect of investor sentiment on monthly stock returns in the Chinese A-share stock market. The findings show that the influence of investor sentiment is significa...

The Fama-Fench 3-factor model (FF3) is one of the most commonly used models for valuing companies. It curious to see whether this can reasonably capture changes in treacherous stock market and accurately predict expected returns a company practice. In article, machine learning adopted analyze data from past five years terms 10-year t-bill return as risk free rate S&P 500 compare analyses Ne...

This paper develops a new framework and tools, and reexamines Fama-French regressions. For Fama-French portfolios, we consider a continuous-time factor model with a specific error component structure implied by the underlying asset pricing theory. The model is then analyzed as a continuous-time multivariate regression with a general martingale differential error, allowing for time-varying and s...

Affect lability, an important aspect of emotion dysregulation, characterizes several psychiatric conditions. The short Affective Lability Scales (ALS-18) measures three aspects of changeability between euthymia and affect states (Anxiety/Depression, AD; Depression/Elation, DE; and Anger, Ang). The aim of our study was to investigate the psychometric characteristics of an Italian version of the ...

I extract credit pricing information from the prices of callable corporate debt, by disentangling the components of callable corporate bond prices associated with discounting at market interest rates, discounting for default risk, and optionality. The results include the first empirical analysis, in the setting of standard arbitrage-free term-structure models, of the time-series behavior of cal...