Why yields are the best guide to future stockmarket returns
John Cochrane’s landmark 2011 paper on discount rates
IN 2011 JOHN COCHRANE, a professor at the University of Chicago’s Booth School of Business, gave a presidential address on “Discount Rates” to the American Finance Association. It was published as a paper a few months later. In a sweeping take, Mr Cochrane set out how academics’ understanding of the way asset prices are determined has shifted over the past half-century. Many papers are described as “landmark”; this one has a better claim to the label than most.
This article appeared in the Finance & economics section of the print edition under the headline “Tales of the expected”
Finance & economics September 7th 2019
- In Argentina, Mauricio Macri's dying government mimics its opponents
- Why yields are the best guide to future stockmarket returns
- After three Chinese banks are bailed out, how many more are at risk?
- Why Americans pay more for lunch than Britons do
- Part-time jobs help women stay in paid work
- Martin Weitzman died on August 27th
From the September 7th 2019 edition
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Germany’s economy goes from bad to worse
Things may look brighter next year, but the relief will be short-lived
An economics Nobel for work on why nations succeed and fail
Daron Acemoglu, Simon Johnson and James Robinson tackled the most important question of all
Why investors should still avoid Chinese stocks
The debate about “uninvestibility” obscures something important
China’s property crisis claims more victims: companies
Unsold homes are contributing to a balance-sheet recession
Europe’s green trade restrictions are infuriating poor countries
Only the poorest can expect help to cushion the blow
How America learned to love tariffs
Protectionism hasn’t been this respectable for decades