Stock (geology)

About: Stock (geology) is a research topic. Over the lifetime, 31009 publications have been published within this topic receiving 783542 citations.

Individual Investors and Local Bias

Abstract: The paper tests whether individuals have value-relevant information about local stocks (where "local" is de ned as being headquartered near where an investor lives). Our methodology uses two types of calendar-time portfolios|one based on holdings and one based on transactions. Portfolios of local holdings do not generate abnormal performance (alphas are zero). When studying transactions, purchases of local stocks signi cantly underperform sales of local stocks. The underperformance remains when focusing on stocks with potentially high-levels of information asymmetries. We conclude that individuals do not help incorporate information into stock prices. Our conclusions directly contradict existing studies.

The Dynamics of Institutional and Individual Trading

Abstract: We study the daily and intradaily cross-sectional relation between stock returns and the trading of institutional and individual investors in Nasdaq 100 securities. Based on the previous day’s stock return, the top performing decile of securities is 23.9% more likely to be bought in net by institutions (and sold by individuals) than those in the bottom performance decile. Strong contemporaneous daily patterns can largely be explained by net institutional (individual) trading positively (negatively) following past intradaily excess stock returns (or the news associated therein). In comparison, evidence of return predictability and price pressure are economically small.

What have we learned about policy and growth from cross-country regressions?

Abstract: Economists have been seeking to comprehend why some countries are rich and others poor for well over 200 years. A better understanding of the national policies associated with long-run growth would both contribute to our ability to explain cross country differences in per capita incomes and provide a basis for making policy recommendations that could lead to improvements in human welfare. Recently, economists have used cross-country regressions to search for empirical linkages between longrun growth and indicators of national policies (e.g., Roger Kormendi and Philip Meguire, 1985; Robert J. Barro, 1991). The large cross-country growth literature has identified various fiscal, monetary, trade, exchange-rate, and financial-policy indicators that are significantly correlated with longrun growth. Yet, Levine and David Renelt (1992) show that many of these findings are fragile to small alterations in the conditioning information set. That is, small changes in the right-hand-side variables produce different conclusions regarding the relationship between individual policies and growth. In this paper, we take stock of what the profession has learned from cross-country regression studies of policy and long-run growth. I. Limitations