Description
Book SynopsisIncludes material on the asset pricing implications of behavioral finance perspectives, recent developments in portfolio choice, derivatives-risk neutral pricing research, and implications of the 2008 financial crisis.
Trade Review"This unique textbook presents classic models and new results in finance, skillfully couched within the more general framework of economic decision-making under uncertainty. Throughout, Danthine and Donaldson carefully balance the need for both intuition and technical detail." --Peter Ireland, Boston College
Table of Contents1. Role of Financial Markets2. Challenges of Asset PricingII.3. Choices in Risky Situations4. Measuring Risk and Risk Aversion5. Risk Aversion and Investment Decisions, Part 16. Risk Aversion and Investment Decisions, Part 27. Risk Aversion and Investment Decisions, Part 3III.8. The CAPM9. Arrow-Debreu Pricing, Part I10. The Consumption Capital Asset Pricing Model (CCAPM)11. Arrow Debreu Pricing, Part IIIV.12. The Martingale Measure in Discrete Time, Part 113. The Martingale Measure in Discrete Time, Part 214. The APT15. Continuous Time Finance16. Portfolio Management in the Long Run17. Financial Structure and Firm Valuation in Incomplete MarketsV.18. Financial Equilibrium with Differential Information
