Hostname: page-component-586b7cd67f-t8hqh Total loading time: 0 Render date: 2024-11-29T19:05:51.762Z Has data issue: false hasContentIssue false

Abstract: A Theory of the Term Structure of Interest Rates and the Valuation of Interest-Dependent Claims

Published online by Cambridge University Press:  19 October 2009

Extract

The main focus of this study concerns the pricing of default-free bonds in a risky economy inhabited by risk-averse consumers. The methodology of the paper draws upon recent work in the fields of intertemporal asset pricing and valuation by arbitrage principles. We develop a general equilibrium model for the expected rates of return on “created financial assets” (such as bonds) dependent upon the risk attitudes of investors and the uncertain real investment opportunities available.

Type
Abstracts of Conference Papers: Options
Copyright
Copyright © School of Business Administration, University of Washington 1977

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)