The Demand for Risky Assets.

This article develops an aggregate demand function for risky assets in the U.S. Prior to analyzing the survey data, the paper will adapt and extend existing theory to obtain the relationships between the composition of household wealth and their utility functions. These relationships are suitable fo...

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Detalles Bibliográficos
Publicado en:American Economic Review Vol. 65; no. 5; pp. 900 - 923
Autores principales: Friend, Irwin, Blume, Marshall E.
Formato: Artículo
Publicado: American Economic Association Dec75
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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        atl: The Demand for Risky Assets.
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          Friend, Irwin
          Blume, Marshall E.
        affil: University of Pennsylvania
      su:
        Investments
        Risk
        Demand function
        Economic demand
        Supply & demand
        Expected utility
      sug:
        subj:
          Investments
          Risk
          Demand function
          Economic demand
          Supply & demand
          Expected utility
      ab: This article develops an aggregate demand function for risky assets in the U.S. Prior to analyzing the survey data, the paper will adapt and extend existing theory to obtain the relationships between the composition of household wealth and their utility functions. These relationships are suitable for statistical analysis at both the micro and macro levels. The article concludes that the assumption of constant proportional risk aversion for households is as a first approximation a fairly accurate description of the market place. Under tenable assumptions, the authors develop a simple form of the aggregate equilibrium relationship between the relative demand for risky assets and the market price of risk.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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