The Accounting Variable And Stock Price Determination
AbstractSeveral tests have been conducted to determine which valuation model best fits stock price data. Given very little success, those studies suggest the need for a clear understanding of the market process of stock price determination. This paper advances the concepts of product costing and product pricing, which pertain to financial accounting valuation and the stock market price determination, respectively. This research effort presents a workable hypothesis of stock price determination.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by EconWPA in its series Finance with number 0502011.
Length: 29 pages
Date of creation: 11 Feb 2005
Date of revision:
Note: Type of Document - wps; pages: 29
Contact details of provider:
Web page: http://22.214.171.124
stock valuation models; fundamental value; committed finance; financial product costing; financial product pricing; 'investment base'; risk/return preferences; sequential expectations adjustment model; heterogeneous expectations; economic space.;
Find related papers by JEL classification:
- G - Financial Economics
This paper has been announced in the following NEP Reports:
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Campbell, John & Shiller, Robert, 1988.
"Stock Prices, Earnings, and Expected Dividends,"
3224293, Harvard University Department of Economics.
- John Y. Campbell & Robert J. Shiller, 1988. "Stock Prices, Earnings and Expected Dividends," NBER Working Papers 2511, National Bureau of Economic Research, Inc.
- John Y. Campbell & Robert J. Shiller, 1988. "Stock Prices, Earnings and Expected Dividends," Cowles Foundation Discussion Papers 858, Cowles Foundation for Research in Economics, Yale University.
- Campbell, J.Y. & Shiller, R.J., 1988. "Stock Prices, Earnings And Expected Dividends," Papers 334, Princeton, Department of Economics - Econometric Research Program.
- James Tobin, 1977. "Monetary Policies and the Economy -- The Transmission Mechanism," Cowles Foundation Discussion Papers 456, Cowles Foundation for Research in Economics, Yale University.
- Scott, Louis O, 1985. "The Present Value Model of Stock Prices: Regression Tests and Monte Carlo Results," The Review of Economics and Statistics, MIT Press, vol. 67(4), pages 599-605, November.
- Vickers, Douglas, 1970. "The Cost of Capital and the Structure of the Firm," Journal of Finance, American Finance Association, vol. 25(1), pages 35-46, March.
- Arzac, Enrique R, 1975. "Structural Planning under Controllable Business Risk," Journal of Finance, American Finance Association, vol. 30(5), pages 1229-37, December.
- Turnovsky, Stephen J, 1970. "Financial Structure and the Theory of Production," Journal of Finance, American Finance Association, vol. 25(5), pages 1061-80, December.
- Lindenberg, Eric B & Ross, Stephen A, 1981. "Tobin's q Ratio and Industrial Organization," The Journal of Business, University of Chicago Press, vol. 54(1), pages 1-32, January.
- Stavros B. Thomadakis, 1976. "A Model of Market Power, Valuation and the Firm's Returns," Bell Journal of Economics, The RAND Corporation, vol. 7(1), pages 150-162, Spring.
- Kleidon, Allan W, 1986. "Variance Bounds Tests and Stock Price Valuation Models," Journal of Political Economy, University of Chicago Press, vol. 94(5), pages 953-1001, October.
- Shiller, Robert J, 1990. "A Scott-Type Regression Test of the Dividend Ratio Model," The Review of Economics and Statistics, MIT Press, vol. 72(2), pages 356-61, May.
- Greenberg, Edward & Marshall, William J & Yawitz, Jess B, 1978. "The Technology of Risk and Return," American Economic Review, American Economic Association, vol. 68(3), pages 241-51, June.
- Kormendi, Roger & Lipe, Robert, 1987. "Earnings Innovations, Earnings Persistence, and Stock Returns," The Journal of Business, University of Chicago Press, vol. 60(3), pages 323-45, July.
- Stanley C. W. Salvary, 2005. "On Financial Accounting Measurement: A Reconsideration Of Sfac 5 By The Fasb Is Needed," Finance 0502015, EconWPA.
- Tomáš Buus, 2009. "The Costing Formula Suitable for Pricing (Transfer Pricing) Decisions and Maximization of Business Value," Český finanční a účetní časopis, University of Economics, Prague, vol. 2009(2), pages 33-45.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (EconWPA).
If references are entirely missing, you can add them using this form.