1 option
Wall Street vs. Main Street: An Evaluation of Probabilities / Robin L. Lumsdaine, Rogier J.D. Potter van Loon.
- Format:
- Book
- Author/Creator:
- Lumsdaine, Robin L.
- Series:
- Working Paper Series (National Bureau of Economic Research) no. w19103.
- NBER working paper series no. w19103
- Language:
- English
- Physical Description:
- 1 online resource: illustrations (black and white);
- Place of Publication:
- Cambridge, Mass. National Bureau of Economic Research 2013.
- Summary:
- This paper challenges recent conventional wisdom of a divide between Main Street (the average American consumer) and Wall Street (financial market participants). The views of survey respondents regarding the likelihood of stock index returns exceeding specific thresholds are compared to market views indicated by index options with strikes at analogous thresholds. The econometric specification explicitly addresses some important impediments to using elicited probabilities from survey data. We confirm that Main Street views track Wall Street views, although the association is not one-for one. We find a closer association for those demonstrating a better understanding of the laws of probability.
- Notes:
- Print version record
- June 2013.
The Penn Libraries is committed to describing library materials using current, accurate, and responsible language. If you discover outdated or inaccurate language, please fill out this feedback form to report it and suggest alternative language.