We provide a brief review of recent developments in research on price movements of real estate, especially bubbles, and highlight the gap between theoretical and statistical approaches to bubble detection. We also propose applying a top-down strategy to a bounds testing method (Pesaran et al. in...

This article analyses movements in Japanese stock returns in the recent period (1991-2005). Unlike previous literature, by modelling persistence in both the mean and volatility simultaneously, first, we find evidence of persistence in Japanese stock returns. Second, while not so for daily...