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Tests of Structural Stability of Risk Premia and Returns Relationship

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Author Info
Tzavalis, E.
Karanikas, E.

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Abstract

This paper introduces recursive Fama and MacBeth tests to assess the intertemporal significance and pervasiveness of macroeconomic factors and firm-specific characteristics in explaining the cross-section variation of expected returns in a dynamically changing stok market such as the Athens Stock Exchange. It is shown that the significance of both categories of factors depends on the changes in the macroeconomic conditions which occured during the sample period, altering the stock market's perception.

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Publisher Info
Paper provided by University of Exeter, School of Business and Economics in its series Discussion Papers with number 97/12.

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Length: 24 pages
Date of creation: 1997
Date of revision:
Handle: RePEc:fth:exetec:97/12

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Related research
Keywords: FINANCIAL MARKET ; INFORMATION;

Find related papers by JEL classification:
G10 - Financial Economics - - General Financial Markets - - - General (includes Measurement and Data)
G14 - Financial Economics - - General Financial Markets - - - Information and Market Efficiency; Event Studies
G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation

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