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A Revealed Preference Analysis of Asset Pricing Under Recursive Utility / Larry G. Epstein, Angelo Melino.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Epstein, Larry G.
Contributor:
National Bureau of Economic Research.
Melino, Angelo.
Series:
Working Paper Series (National Bureau of Economic Research) no. w4524.
NBER working paper series no. w4524
Language:
English
Subjects (All):
Prices--Econometric models.
Prices.
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 1993.
Cambridge, Massachusetts : National Bureau of Economic Research, 1993.
Summary:
This paper considers a representative agent model of asset prices based on a recursive utility specification. A constant elasticity of intertemporal substitution is assumed but the risk-preference component of utility is restricted only by qualitative, nonparametric regularity conditions. The principal contribution is to determine the exhaustive implications of this semiparametric recursive utility model for the one-step ahead joint probability distribution for consumption growth and asset returns.
Notes:
Print version record
November 1993.

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