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Risk-Free Versus Risky Assets: Teaching a Portfolio Model with Application to the Stock Market

Author

Listed:
  • Dolors Berga

    (Universitat de Girona)

  • Jose I. Silva

    (Universitat de Girona)

Abstract

In this paper, we present an application where advanced undergraduate students can solve the expected utility portfolio model with a risk-free asset and a risky asset […]

Suggested Citation

  • Dolors Berga & Jose I. Silva, 2021. "Risk-Free Versus Risky Assets: Teaching a Portfolio Model with Application to the Stock Market," Journal of Economics Teaching, Journal of Economics Teaching, vol. 6(2), pages 76-94, October.
    • Handle: RePEc:jtc:journl:v:6:y:2021:i:2:p:76-94
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    References listed on IDEAS

    as
    1. Danthine, Jean-Pierre & Donaldson, John B., 2014. "Intermediate Financial Theory," Elsevier Monographs, Elsevier, edition 3, number 9780123865496.
    2. Mas-Colell, Andreu & Whinston, Michael D. & Green, Jerry R., 1995. "Microeconomic Theory," OUP Catalogue, Oxford University Press, number 9780195102680, Decembrie.
    3. Andrea Morone, 2008. "Comparison of Mean-Variance Theory and Expected-Utility Theory through a Laboratory Experiment," Economics Bulletin, AccessEcon, vol. 3(40), pages 1-7.
    4. Charles A. Holt & Susan K. Laury, 2002. "Risk Aversion and Incentive Effects," American Economic Review, American Economic Association, vol. 92(5), pages 1644-1655, December.
    5. Benninga, Simon, 2010. "Principles of Finance with Excel," OUP Catalogue, Oxford University Press, number 9780199755479, Decembrie.
    6. Benninga, Simon, 2014. "Financial Modeling," MIT Press Books, The MIT Press, edition 4, volume 1, number 0262027283, December.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Stock Market;

    JEL classification:

    • A21 - General Economics and Teaching - - Economic Education and Teaching of Economics - - - Pre-college
    • A22 - General Economics and Teaching - - Economic Education and Teaching of Economics - - - Undergraduate

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