The interest rate as a stochastic variable – possible answer to financial markets volatility
Journal Title: Acta Economica - Year 2012, Vol 10, Issue 16
Abstract
This paper presents the interest rate in terms of consistent market, i.e. function of interest is defined as a continuous function which further allows to view the interest rate as a stochastic variable. In this context Stoodley`s formula is presented as a possibility of adequate evaluation of capital cost in terms of consistent market.
Authors and Affiliations
Бојан Башкот
Keywords
Related Articles
- EP ID EP43744
- DOI -
- Views 248
- Downloads 0
TRANSITION, DEVELOPMENT-STRUCTURAL SECTOR AND ECONOMIC POLICY
The society change in the Europe (post) socialist countries and into including in the global economy will not reflection to adequacy way for development new model the government regulations for reconfiguration the econom...
IDENTIFYING THE ESSENTIAL FACTORS OF GLOBAL CRISIS – CONDITION FOR UNDERTAKING ADEQUATE MEASURES FOR OVERCOMING THE CRISIS
Current global economic crisis is neither conjuncture nor a cyclic one, but rather a serious systemic crisis, which roots lay in the Breton-Woods (1944) decision to let the American currency – US dollar become world’s re...
The Correlation between the Risk of Default and Solvency of Member States of the Monetary Union
The debt crisis in the European Monetary Union, emphasized the importance of keeping a responsible fiscal policy, especially in the context of issues of public debt sustainability and solvency of the member countries. Co...
FINANCIAL GAMBLING AS AN GENERATOR OF FINANCIAL CRISIS
In this article we discuss about last global financial crisis, principal – agent relationship and new role of state in modern economy. Financial gambling is new issue for public debate between experts and nonexperts. Als...
INVESTING INTO SCIENTIFIC RESEARCH AND ECONOMIC GROWTH
Creating a European Research Area (ERA) was defined as a strategic goal in the area of scientific research and technological development at the Lisbon Conference 2000. The Seventh Framework Programme for research and tec...