dc.contributor.author | WEBER, Matthias | |
dc.contributor.author | DUFFY, John | |
dc.contributor.author | SCHRAM, Arthur | |
dc.date.accessioned | 2018-12-06T13:55:18Z | |
dc.date.available | 2018-12-06T13:55:18Z | |
dc.date.issued | 2018 | |
dc.identifier.citation | Journal of finance, 2018, Vol. 73, No. 4, pp. 1857-1892 | |
dc.identifier.issn | 0022-1082 | |
dc.identifier.issn | 1540-6261 | en |
dc.identifier.uri | https://hdl.handle.net/1814/59932 | |
dc.description | First published: 10 May 2018 | en |
dc.description.abstract | An important feature of bond markets is the relationship between the initial public offering (IPO) price and the probability that the issuer defaults. On the one hand, the default probability affects the IPO price on the other hand, the IPO price affects the default probability. It is a priori unclear whether agents can competitively price such assets. Our paper is the first to explore this question. To do so, we use laboratory experiments. We develop two flexible bond market models that are easily implemented in the laboratory. We find that subjects learn to price the bonds well after only a few repetitions. | |
dc.description.sponsorship | Netherlands' Organization for Scientific Research (NWO) [406-11-022] | |
dc.description.sponsorship | Research Priority Area Behavioral Economics of the University of Amsterdam | |
dc.description.sponsorship | UC Irvine School of Social Sciences | |
dc.format.mimetype | application/pdf | |
dc.language.iso | en | |
dc.publisher | Wiley | en |
dc.relation.ispartof | Journal of finance | |
dc.rights | info:eu-repo/semantics/openAccess | en |
dc.subject | Experimental asset markets | en |
dc.subject | Divisible good auctions | en |
dc.subject | Financial-markets | en |
dc.subject | Stock-prices | en |
dc.subject | Bubbles | en |
dc.subject | Expectations | en |
dc.subject | Information | en |
dc.subject | Feedback | en |
dc.subject | Crashes | en |
dc.subject | Risk | en |
dc.title | An experimental study of bond market pricing | |
dc.type | Article | en |
dc.identifier.doi | 10.1111/jofi.12695 | |
dc.identifier.volume | 73 | |
dc.identifier.startpage | 1857 | |
dc.identifier.endpage | 1892 | |
eui.subscribe.skip | true | |
dc.identifier.issue | 4 | |