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Discounting the distant future: What do historical bond prices imply about the long term discount rate?

Farmer, J. Doyne et al.
arXiv (All) · Papers
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economicsgeneral-economicsmathematical-financerisk-management
We present a thorough empirical study on real interest rates by also including risk aversion through the introduction of the market price of risk. With the view of complex systems science and its multidisciplinary approach, we use the theory of bond pricing to study the long term discount rate. Cent
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