This paper investigates the ampli cation mechanism of the nancial accelerator on the equity premium in a production economy. To accomplish this, I incorporate the Gertler and Karadi (2011) type nancial accelerator into a medium-scale New Keynesian model with generalized recursive preferences. I nd that the nancial accelerator is a very plausible and new ampli cation mechanism for risk premia in...

We perform an experiment where subjects pay for the right to participate in a shareholder vote. We find that experimental subjects are willing to pay a significant premium for the voting right even though there should be no such premium in our setup under full rationality. Private benefits from controlling the firm are absent from our setup and overconfidence cannot explain the size of the obse...

The traditional textbook method of calculating a corporation’s cost of debt capital tends to minimize the practical process used to arrive at that cost. This is particularly true if the corporation has issued a coupon bond at either premium or discount. The theoretical before-tax cost of debt is easily calculated and does include the amortization of the discount or premium, but the significance...

— Mexico’s college premium rose in the 1990s. Studies employing structural decomposition analyses treat the college premium as the relative price of “skilled” to “unskilled” workers. They find that reallocations of labor across industries and occupations cannot account for rising college premiums, and often attribute them to widely observed trade-induced increases in skills demand within the ma...

OBJECTIVES One of the challenges facing hearing care providers when recommending hearing aids is the choice of device technology level. Major manufacturers market families of hearing aids that are described as spanning the range from basic technology to premium technology. Premium technology hearing aids include acoustical processing capabilities (features) that are not found in basic technolog...

agricultural insurance is one of the most important mechanisms to providing security for investment in agricultural and natural damage reduction. one of the modern types of insurance is weather index- based insurance that developed based on climatic parameters such as rainfall and temperature. the purpose of this study is to identifying the factors affecting wheat farmer's participation on...

Energy security is of increasing importance in today’s world, yet little research has been carried out on the costs or benefits of energy security policies. This paper looks at the period after the 1970s to estimate the cost premium of electricity generation due to energy security policies. The cost premium is estimated for France, Germany, Italy and Spain for the period 1980-2000 by estimating...

We propose a model for the aggregate stock market together with its dividend yield and earnings yield so that the ex-ante risk premium could be extracted in an unobserved component modelling framework. We posit the model as a linked stochastic differential equation system and the linking variable is the ex-ante risk premium. By hypothesising a realistic dynamic structure for the ex-ante risk pr...

Ein Unternehmen mit 1700 gewerblichen Partnern betreiben und in 200 Städte liefern, ohne einen einzigen schriftlichen Vertrag zu haben. Allen Endkundinnen und Endkunden ein Vetorecht für alle geschäftlichen Entscheidungen geben. Nie einen Plan für die nächsten Monate haben, maximal für Wochen. Und das alles bitte ohne Investoren, ohne Werbung, ohne Management. Und bitte als Online-Zusammenarbei...

www.scor.com/SGLA Every day hundreds of term life policyholders receive 60-day notices of rate changes because their level premium guarantee is coming to an end. And the premium jumps can be jaw dropping – often 5 to 10 times the rate paid during the level period. In response, most policyholders lapse their contract when the level premium period ends or within a few months thereafter – the shoc...