IDEAS home Printed from https://ideas.repec.org/a/taf/jbemgt/v10y2008i1p45-51.html
   My bibliography  Save this article

Application of logistic models for stock market bubbles analysis

Author

Listed:
  • Stasys Girdzijauskas
  • Dalia Štreimikiene

Abstract

The article deals with economic bubbles and analyses their possible causes and tools for the prediction of such bubbles development. An economic bubble is the commonly used term for an economic cycle that is characterized by a rapid expansion followed by a dramatic crash. While some bubbles happen naturally as a part of the economic cycle, some also occur as a result of investor exuberance and serve as correctives. These typically happen in securities, stock markets, real estate and various other business sectors because of certain changes in the way key players conduct business. The well‐known and widely discussed bubbles in asset markets were analysed and compared trying to define the main features, causes and signals of such bubbles creation: Dotcom, Telecom, Health South Corporation, NASDAQ, etc. These bubbles were analysed in the article by applying the logistic growth model allowing to predict the bubbles creation as a result of growth satiation in the conditions of limited resources.

Suggested Citation

  • Stasys Girdzijauskas & Dalia Štreimikiene, 2008. "Application of logistic models for stock market bubbles analysis," Journal of Business Economics and Management, Taylor & Francis Journals, vol. 10(1), pages 45-51, November.
    • Handle: RePEc:taf:jbemgt:v:10:y:2008:i:1:p:45-51
    DOI: 10.3846/1611-1699.2009.10.45-51
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.3846/1611-1699.2009.10.45-51
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.3846/1611-1699.2009.10.45-51?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Pastor, Lubos & Veronesi, Pietro, 2006. "Was there a Nasdaq bubble in the late 1990s?," Journal of Financial Economics, Elsevier, vol. 81(1), pages 61-100, July.
    2. John H. Cochrane, 2002. "Stocks as Money: Convenience Yield and the Tech-Stock Bubble," NBER Working Papers 8987, National Bureau of Economic Research, Inc.
    3. Eugene N. White, 2004. "Bubbles and Busts: The 1990s in the Mirror of the 1920s," FRU Working Papers 2004/09, University of Copenhagen. Department of Economics. Finance Research Unit.
    4. Shone,Ronald, 2001. "An Introduction to Economic Dynamics," Cambridge Books, Cambridge University Press, number 9780521804783.
    5. Shone,Ronald, 2001. "An Introduction to Economic Dynamics," Cambridge Books, Cambridge University Press, number 9780521800341.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jahanshahi, Hadi & Yousefpour, Amin & Munoz-Pacheco, Jesus M. & Kacar, Sezgin & Pham, Viet-Thanh & Alsaadi, Fawaz E., 2020. "A new fractional-order hyperchaotic memristor oscillator: Dynamic analysis, robust adaptive synchronization, and its application to voice encryption," Applied Mathematics and Computation, Elsevier, vol. 383(C).
    2. Andrea Vaona, 2013. "The Most Beautiful Variations on Fair Wages and the Phillips Curve," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 45(6), pages 1069-1084, September.
    3. Wang, Shaojie & He, Shaobo & Yousefpour, Amin & Jahanshahi, Hadi & Repnik, Robert & Perc, Matjaž, 2020. "Chaos and complexity in a fractional-order financial system with time delays," Chaos, Solitons & Fractals, Elsevier, vol. 131(C).
    4. Quinn, William & Turner, John D., 2021. "Riding the Bubble or Taken for a Ride? Investors in the British Bicycle Mania," QBS Working Paper Series 2021/08, Queen's University Belfast, Queen's Business School.
    5. Vaona, Andrea, 2011. "Four variations on fair wages and the Phillips curve," Kiel Working Papers 1713, Kiel Institute for the World Economy (IfW Kiel).
    6. Kevin J. Lansing, 2008. "Speculative growth and overreaction to technology shocks," Working Paper Series 2008-08, Federal Reserve Bank of San Francisco.
    7. Quinn, William & Turner, John D., 2021. "Riding the bubble or taken for a ride? Investors in the British bicycle mania," QUCEH Working Paper Series 21-07, Queen's University Belfast, Queen's University Centre for Economic History.
    8. Frederico Belo & Chen Xue & Lu Zhang, 2010. "Cross-sectional Tobin's Q," NBER Working Papers 16336, National Bureau of Economic Research, Inc.
    9. Peter C.B. Phillips & Shu-Ping Shi & Jun Yu, 2011. "Testing for Multiple Bubbles," Working Papers 09-2011, Singapore Management University, School of Economics.
    10. Eric Hilt, 2014. "History of American Corporate Governance: Law, Institutions, and Politics," Annual Review of Financial Economics, Annual Reviews, vol. 6(1), pages 1-21, December.
    11. AltInkIlIç, Oya & Hansen, Robert S., 2009. "On the information role of stock recommendation revisions," Journal of Accounting and Economics, Elsevier, vol. 48(1), pages 17-36, October.
    12. Roland Füss & Daniel Ruf, 2018. "Office Market Interconnectedness and Systemic Risk Exposure," Working Papers on Finance 1830, University of St. Gallen, School of Finance.
    13. Stijn Claessens & M. Ayhan Kose, 2013. "Financial Crises: Explanations, Types and Implications," CAMA Working Papers 2013-06, Centre for Applied Macroeconomic Analysis, Crawford School of Public Policy, The Australian National University.
    14. Queirós, Francisco, 2024. "Asset bubbles and product market competition," Theoretical Economics, Econometric Society, vol. 19(1), January.
    15. Vivek Singh, 2013. "Did institutions herd during the internet bubble?," Review of Quantitative Finance and Accounting, Springer, vol. 41(3), pages 513-534, October.
    16. Martin Lettau & Sydney C. Ludvigson & Jessica A. Wachter, 2008. "The Declining Equity Premium: What Role Does Macroeconomic Risk Play?," Review of Financial Studies, Society for Financial Studies, vol. 21(4), pages 1653-1687, July.
    17. Biais, Bruno & Rochet, Jean-Charles & Woolley, Paul, 2009. "Rents, learning and risk in the financial sector and other innovative industries," LSE Research Online Documents on Economics 24417, London School of Economics and Political Science, LSE Library.
    18. Jung, JiYong & Jung, Kuk Mo, 2021. "Stock market uncertainty and uncovered equity parity deviation: Evidence from Asia," Journal of Asian Economics, Elsevier, vol. 73(C).
    19. Borce Trenovski & Biljana Tashevska & Suzana Makreshanska, 2015. "The Global Economic Crisis - What Should Not Be Forgotten," Journal Articles, Center For Economic Analyses, pages 99-112, June.
    20. Penasse, J.N.G. & Renneboog, L.D.R., 2014. "Bubbles and Trading Frenzies : Evidence from the Art Market," Other publications TiSEM bf0d8984-df7f-4f02-afc7-3, Tilburg University, School of Economics and Management.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:jbemgt:v:10:y:2008:i:1:p:45-51. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/TBEM20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.