The Economics of Financial Markets provides comprehensive cover of the economic principles underlying all financial markets, focusing on markets for equities, bonds, futures and options contracts. This textbook is suitable for advanced undergraduates and for beginning graduate students in financial economics.
The Economics of Financial Markets provides comprehensive cover of the economic principles underlying all financial markets, focusing on markets for equities, bonds, futures and options contracts. This textbook is suitable for advanced undergraduates and for beginning graduate students in financial economics.
R. E. Bailey is Reader in Economics at the University of Essex. His main interests are in monetary economics, together with economic history and philosophy.
Inhaltsangabe
Preface 1. Asset markets and asset prices 2. Asset market microstructure 3. Predictability of prices and market efficiency 4. Decision making under uncertainty 5. Portfolio selection: the mean-variance model 6. The capital asset pricing model, CAPM 7. Arbitrage 8. Factor models and arbitrage pricing theory, APT 9. Empirical appraisal of the CAPM 10. Present value relationships and price variability 11. Intertemporal choice and equity premium puzzle 12. Bond markets and fixed-interest securities 13. Term structure and interest rates 14. Futures markets - fundamentals 15. Futures markets - speculation and hedging 16. Futures markets - applications 17. Swap contracts and swap markets 18. Options markets: fundamentals 19. Options markets - price determination 20. Options markets - applications.