The economics of financial markets / Hendrik S. Houthakker and Peter J. Williamson.

Format:

Book

Author/Creator:

Houthakker, Hendrik S.

Contributor:

Williamson, Peter J.

Language:

English

Subjects (All):

Capital market--United States.

Capital market.

Futures market.

Stock exchanges.

Physical Description:

1 online resource (376 p.)

Place of Publication:

New York : Oxford University Press, 1996.

Language Note:

English

Summary:

Providing a comprehensive introduction to the subject of financial markets, this study includes unique analyses of the pricing of options and futures, particularly futures in Eurodollars. The authors assume a basic understanding of economics.

Contents:

Contents; 1 Introduction; 1.1 What This Book Is About; 1.2 Financial Markets and Financial Instruments Defined; 1.3 Basic Concepts of Accounting; 1.3.1 The Balance Sheet; 1.3.2 The Cash Flow Statement; 1.3.3 The Income Statement; 1.4 Sources of Information; 2 The Place of Financial Markets in the Economy; 2.1 Real Assets and Financial Claims; 2.1.1 Balance Sheets for the U.S. Economy; 2.1.2 The International Investment Position of the United States; 2.1.3 The Distribution of Financial Assets; 2.2 A Framework for Macroeconomic Analysis of Flows; 2.2.1 The National Accounts

2.2.2 The Flow of Funds Accounts2.2.3 The Relation between Stocks and Flows; 2.2.4 International Transactions; 2.2.5 Exchange Rates; 2.3 The Rate of Interest; 2.3.1 The Rate of Interest in a Barter Economy; 2.3.2 Government Borrowing; 2.3.3 Introducing Money: Nominal and Real Interest Rates; 2.4 Monetary and Fiscal Policy; 2.4.1 The Supply of Money; 2.4.2 The Demand for Money; 2.4.3 The Objectives of Monetary Policy; 2.4.4 Fiscal Policy and the Government Budget; 3 The Supply of Securities; 3.1 General Characteristics of Securities; 3.2 The Supply of Government Securities

3.2.1 Federal Government Obligations3.2.2 Municipal Bonds; 3.2.3 Bonds of Foreign Governments and International Organizations; 3.2.4 Index-Linked Bonds; 3.3 Corporate Financial Policy; 3.3.1 Empirical Evidence; 3.4 The Supply of Corporate Securities; 3.4.1 Corporate Equities; 3.4.2 Corporate Takeovers; 3.4.3 Corporate Bonds; 3.4.4 Junk Bonds; 3.4.5 Convertible Securities; 3.4.6 Partnership Units and Business Taxation; 3.5 Mutual Fund Shares; 3.5.1 Money Market Funds; 3.6 Mortgages and Mortgage-Backed Securities; 3.7 Claims on Financial Institutions; 4 The Demand for Securities

4.1 The Time Dimension4.1.1 A Case in Microeconomics: Saving for Retirement; 4.1.2 Present Value and Duration; 4.1.3 The Calculation of Yields on Zero-Coupon Bonds; 4.1.4 The Term Structure of Interest Rates; 4.2 The Risk Dimension; 4.2.1 The Measurement of Risk; 4.2.2 Bivariate Distributions; 4.2.3 Expected Utility; 4.2.4 Estimating the Mean and Variance of Returns; 4.2.5 Conditional Probabilities and Expected Values; 4.3 The Portfolio Complication; 5 Securities Markets and Their Efficiency; 5.1 Central Trading Places; 5.1.1 Stock Exchanges; 5.1.2 Types of Orders and Their Execution

5.1.3 Specialists and Market Clearing5.2 Financial Markets without Central Trading Places; 5.2.1 The Over-the-Counter Stock Market; 5.3 Stock Exchanges in Other Countries; 5.3.1 The International Stock Exchange in London; 5.3.2 The Tokyo Stock Exchange; 5.4 Operational Efficiency and the Efficient Market Hypothesis; 5.4.1 The Weak Form of the EMH, and Technical Analysis; 5.4.2 Do Equity Prices Follow a Random Walk?; 5.4.3 The Semistrong Form of the EMH, and Security Analysis; 5.4.4 How Rapidly Do Prices Adjust to News?; 5.4.5 The Strong Form of the EMH

5.4.6 Conclusions on Informational Efficiency

Notes:

Description based upon print version of record.

Includes bibliographical references (p. 335-347) and indexes.

Description based on print version record.

Description based on publisher supplied metadata and other sources.

ISBN:

0-19-931499-3

1-280-52331-X

0-19-802132-1

1-4294-1533-9

9786610523313

1-60256-587-2

OCLC:

922952883