Working Papers

These papers are working drafts of research which often appear in final form in academic journals. The published versions may differ from the working versions provided here.

SSRN Research Paper Series

The Social Science Research Network’s Research Paper Series includes working papers produced by Stanford GSB the Rock Center.

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On the Distributional Conditions for A Consumption Oriented Three Moment CAPM

Alan Kraus, Robert H. Litzenberger
1985

In this paper we develop sufficient conditions on probability distributions for a three moment (mean, variance, skewness) consumption oriented capital asset pricing model (CAPM) to price correctly a subset of assets. The assumptions that…

Price Operators: Extensions, Potentials, and the Markov Valuation of Securities

Darrell Duffie
1985

This paper provides properties of price operators, functions that map the payoff of a contingent claim to its market value as a function of the state of the economy. The principal objective is the construction of a Markov process under which the…

The Social Construction of Organizations

1985

The literature on institutionalization and formal organizational structure is a diffuse and, at time, unclear body of work. The theory of the social construction of reality [Berger and Luckermann, 1967] is offered as a unifying theoretical…

A Utility-Based Model of Common Stock Price Movements

1985

This paper develops and tests a non-linear utility-based econometric model of the temporal behavior of aggregate stock price movements, based on a constant relative risk aversion utility function and an observable information set consisting of…

Hidden Barriers to Acquisition Research

David B. Jemison, Sim Sitkin
1984

Traditional prescriptions for making acquisitions ~workinclude aspects of both strategic and organizational fit. But, because some acquisitions continue to yield disappointing results, a different perspective may be useful. This paper provides…

Portfolio Choice in Research and Development

1984

Possible distortions in the choice of a mix of research and development projects in the market, where competition is subject to “winner-take-all” payoff structure, are analyzed. Attention is devoted to choices of weights on alternative “knowledge…

Practical Aspects of Portfolio Optimization

William F. Sharpe
1984

Abstract not available.

The Value of Information in Speculative Trading

Anat R. Admati, Paul Pfleiderer
1984

This paper analyzes the value of information that is used in speculative trading. There is an important externality effect in the valuation of information in this context. The value of information depends, through its dependence on the…

Minimum Wage Effects with Output Stabilization

James C. Cox, Ronald L. Oaxaca
1983

Abstract not available.

A Note on Performance Evaluation

Paul Pfleiderer, Sudipto Bhattacharya
1983

Problems in distinguishing between market timing and security selection ability are reviewed. It is shown that the ability of a manager who receives signals with continuous distributions can be consistently measured the assumption of a…

A Note on the Necessary Condition for Linear Sharing and Separation

Chi-fu Huang, Robert H. Litzenberger
1983

Abstract not available.

Tournaments and Incentives: Heterogeneity and Essentiality

Sudipto Bhattacharya
1983

This paper reexamines, and significantly modifies, Lazear and Rosens (1981) negative result, concerning the effect of ex ante heterogeneity of workers on the attainability of first-best efficiency using tournament contracts, even for risk-neutral…

RatBAS -- A Software Tool for Users of BASIC

Brent D. Weaver, William F. Sharpe
1982

This document describes a program that translates programs written in RatBAS, a modified version of BASIC, to logically equivalent programs in BASIC.

Some Factors in New York Stock Exchange Security Returns, 1931-1979

William F. Sharpe
1982

Abstract not available.

Aspects of Monetary and Banking Theory and Moral Hazard

Sudipto Bhattacharya
1981

Abstract not available.

Innovation and Communication: Signaling with Partial Disclosure

Sudipto Bhattacharya, Jay R. Ritter
1981

Abstract not available.