Explain consensus among the chief authors in finance

Is there any consensus among the chief authors in finance concerning the market risk premium?

E

Expert

Verified

In Fernández (2006) we come at this conclusion after analyzing over 100 books and financial articles. The given chart and table demonstrate this point:

379_Risk premium recommended in several books and papers.png

Figure: Risk premium recommended in several books and papers

2282_table market risk.png

Here,

REP = required equity premium;

HEP = historical equity premium;

IEP = implied equity premium;

EEP = Expected equity premium

   Related Questions in Corporate Finance

  • Q : Convertible Bonds-Corporate Bonds State

    State the term Convertible Bonds in Corporate Bonds?

  • Q : Estimate stock's current price A

    A company currently pays a dividend of $3.75 per share, D0 = 3.75. It is estimated that the company's dividend will grow at a rate of 15% percent per year for the next 2 years, then the dividend will grow at a constant rate of 7% the

  • Q : What impacts have on value of a

    What impacts have on the value of a business of high inflation?

  • Q : Broad research methodologies Various

    Various broad research methodologies are available with which to study the development of accounting theory. a. Discuss the deductive, inductive, normative, and empirical research methods.  

  • Q : Who explained the high-peak/fat-tails

    Who explained the high-peak/fat-tails?

  • Q : Explain Corporate Development Corporate

    Corporate Development: Corporate development is a term which references the range of planning options and strategies which can assist to move a company toward its targets. The procedure of this kind of strategic development can be exerted to just abou

  • Q : Explain breakthroughs on

    Explain breakthroughs on low-discrepancy sequences.

  • Q : Valuation & Merger analysis Problem

    Problem 21-1 Valuation Harrison Corporation is interested in acquiring Van Buren Corporation. Assume t

  • Q : Explain new methodology of standard

    Explain new methodology of standard market practice.

  • Q : Widgets You are required to submit a

    You are required to submit a bid to supply 200,000,000 widgets per year to the State of Illinois for the next five years. Your company has an idle tract of real estate that cost $1,500,000 ten years ago; if your company sold the land today, it would generate $3,000,000 after the taxes were paid. The

©TutorsGlobe All rights reserved 2022-2023.