The simplest rational greater-fool bubble model

• 成果类型: Article
• 署名作者: Liu, Feng; Conlon, John R.
• 署名单位: University of Mississippi
• 刊物名称: JOURNAL OF ECONOMIC THEORY
• ISSN/ISSBN: 0022-0531
• DOI: 10.1016/j.jet.2018.01.001
• 发表日期: 2018
• 页码: 38-57
• 关键词: Greater-fool bubble; asymmetric information

摘要

We show that there exist models with rational agents, three periods, and five states of the world, which have a strong bubble in one of these states. However, no finite-horizon rational strong bubble model, with standard Walrasian markets, can have fewer than five states. (C) 2018 Elsevier Inc. All rights reserved.